The Korea Herald

지나쌤

Hyundai Motor unionists start 2nd partial strike

By Yonhap

Published : Aug. 14, 2017 - 10:26

    • Link copied

ULSAN -- Union members of Hyundai Motor Co., South Korea's No. 1 automaker, will go on their second partial strike Monday after failed labor talks with the management over wage hikes and job security.

Union leaders said workers on the early shift will stage a strike for two hours beginning at 1:30 p.m. Workers of the following shift will walk out for two hours at 10:30 p.m.

The unionists already staged a two-hour strike on Thursday.

The unionists also refused weekend work shifts last week. This is the sixth consecutive year for the automaker's unionists to go on strike ahead of a wage agreement.

Hyundai's union is demanding an increase of 154,883 won ($136) in monthly salary on top of an automatic annual hike and 30 percent of the company's 2016 net profit in bonuses. Workers also want to be guaranteed their jobs regardless of factory line changes from technological and industrial advancements.

(Yonhap) (Yonhap)

Other demands include more social contributions, the reinstatement of fired employees and a welfare center for retirees.

Hyundai Motor said it has suffered an estimated 130 billion won in lost production due to the partial strikes for two days and the refusal of weekend work shifts.

Union leaders and the carmaker's management are scheduled to meet Wednesday to narrow the differences on their demand.

The strike came as Hyundai Motor is faring ill in its large overseas markets, such as the United States and China.

The company saw its US sales decline this year from 2016 on slowing demand, with its domestic sales remaining in the doldrums due to sluggish shipments of SUVs.

Hyundai Motor's sales in China have been hit hard by the ongoing row over South Korea's deployment of an advanced US missile shield, called the Terminal High Altitude Area Defense system.

Hyundai Motor's second-quarter operating profit tumbled 23.7 percent on-year to 1.34 trillion won, with its bottom line plunging 48.2 percent to 913.6 billion won. It marks the first time in 2010 that its quarterly net profit has fallen below the 1 trillion-won mark.

Meanwhile, unionized workers at Renault Samsung Motors Corp. voted for a walkout as they press for more wages and benefits, the carmaker's union said Monday.

Some 2,200 members of the 2,300-strong union cast their votes in favor of the proposed strike, although the strike vote does not mean an immediate walkout, the union said.

Except for SsangYong Motor Co., the country's four carmakers, including Kia Motors Corp. and GM Korea Co., are staging strikes or have voted for a strike. (Yonhap)