The Korea Herald

지나쌤

Hyundai Motor, HHI unions strike

By Lee Hyun-jeong

Published : July 19, 2016 - 15:44

    • Link copied

The unions of Hyundai Motor and Hyundai Heavy Industries on Tuesday launched a partial strike against the rupture of the wage negotiation.

Two shift teams of the carmaker union staged the strike for two hours each while the heavy industries union did for three hours. This is the first collective strike of the two unions in 23 years when the federation of Hyundai Group’s unions launched it in 1993. 

The two unions hold a press conference before staging a collective strike in Ulsan, Tuesday. (Yonhap) The two unions hold a press conference before staging a collective strike in Ulsan, Tuesday. (Yonhap)

“The strike of Hyundai Motor’s union is against the failure of the wage deal and for the national chaebol reform whereas the strike of Hyundai Heavy Industries is against the company’s lack of sincerity for the wage deal and an attempt to deter the restructuring plan,” said the two unions.

“(The two unions) will stage a collective strike anytime if necessary.”

Hyundai Motor union will continue the partial strike for four days straight until Friday while Hyundai Heavy Industries union will stage again on Wednesday and Friday, they said.

In case of the carmaker, about 28,000 workers took part in the strike. The strike is speculated to cause 39 billion won ($34 million) of production losses for about 1,700 vehicles, the company said.

This is the fifth consecutive strike of Hyundai Motor’s union against the annual wage negotiation.

The union has called for a 7.2 percent rise of basic wage and a 30 percent bonus from the last year’s net profit. It also demanded reinstatement of laid-off workers and veto rights against promotion of some 8,000 workers.

The company, on the other hand, asked for expanding the wage peak system and revising the union-related regulations.

“Staging a routine strike without enough communication is a bad habit that should disappear,” said the carmaker headquarters.

Meanwhile, less than 700 workers in charge of supporting the facility operation at Hyundai Heavy Industries participated in the collective walkout. The company said the strike caused little damage.

The union has asked for raising the wage and bonus and reflecting their further voices for forming the disciplinary committee and for appointing nonexecutive directors.

The company demanded repealing special welfare measures for workers such as overseas training programs and special bonuses for those who have worked for over 20 years.

By Lee Hyun-jeong  (rene@heraldcorp.com)