The labor union of Hyundai Motor Company is set to begin a limited strike lasting three days, starting on the 20th. This is the second week in a row of work stoppages, continuing from last week, July 13–15, during which the duration of the strike increased from two hours to four hours daily. When considering both the morning and afternoon shifts together, production lines may be suspended for as long as eight hours each day.
As reported by the Hyundai Motor Company labor union and others on the 20th, the Metal Workers’ Union Hyundai Motor Branch will carry out a four-hour strike daily from the 20th to the 22nd. The morning shift for production workers will suspend operations from 10:50 a.m. to 3:30 p.m., while the evening shift will be halted from 7:30 p.m. to 12:10 a.m. the next day, each lasting four hours. The standard daytime shift will be involved from 12:40 p.m. to 4:40 p.m., and administrative staff from 1:00 p.m. to 5:00 p.m. The union shared this strike plan with its members via the guidelines issued by the Central Dispute Countermeasures Committee on the 16th.
Last week, between July 13 and 15, every shift carried out a two-hour partial strike each day, but this week, the duration has been extended to double in order to raise more pressure on management. The union also intends to keep its position of declining overtime work during weekdays and special shifts on weekends. The union said, “Without a proactive proposal or request from management to restart negotiations, we will increase pressure by leveraging the solidarity of over 40,000 union members,” and added, “If major negotiations resume, we will halt strikes on the day of the talks.”
The labor and management teams of Hyundai Motor Company have been unable to resolve their disagreements regarding salaries and performance-based incentives. During the 15th round of discussions on July 8, the company introduced a third offer, which consisted of a monthly base salary increase of 89,000 South Korean won, a performance bonus calculated at 350% of the base pay along with an additional 10 million South Korean won, and the allocation of 15 company shares. Nevertheless, the union turned down this proposal and is firmly pushing for a base salary rise of 149,600 South Korean won, a performance bonus equal to 30% of the previous year’s net earnings, an 800% boost in bonuses, an extension of the retirement age, and the return of terminated employees.
The union intends to convene a Central Dispute Countermeasures Committee meeting on July 23 to determine the extent of upcoming strikes, depending on the outcomes of the discussions. Hyundai Motor Company mentioned, “We are engaged in secret negotiations with the union,” suggesting that they are still considering the option of resolving the issue through talks.
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