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Hyundai Motor Union 718 industrial action in favor of… One strike for the first time in four years

One-day industrial action voting in favor of 71.8% approved
6-day strike schedule likely to be discussed
If the strike is carried out, it will be the first time in four years since 2018.
Aggravated production disruptions in the auto industry during strikes

Ahn Hyeon-ho, head of Hyundai Motor’s labor union, speaks at the ‘Setout Ceremony to Win the 2022 Wage Negotiation’ held on the lawn in front of the main building of the Ulsan Plant on May 25. photo = Yonhap News

More than 70% of union members voted in favor of the strike in a vote in favor of industrial action conducted by the Hyundai Motors union to secure the strike. If the union actually goes on strike, it will be the first strike in four years, and there are concerns that Hyundai Motor, which is suffering production disruptions due to supply chain instability, will suffer serious damage due to union risk.

The Hyundai Motor union announced on the 1st that as a result of a vote in favor of industrial action for all union members (46,568) on the 1st, 33,436 (71.8% of the total) voted in favor of 49,958 voters (87.9% turnout). .

From 6:45 am on the same day, the union held a vote in favor of about 46,000 union members at the Ulsan plant, Jeonju and Asan plants, Namyang research institute, and sales stores.

As there has never been a case in which no previous Hyundai Motors union strike vote has been rejected, there has been an observation that this vote is highly likely to be passed as well.

Previously, the union of Hyundai Motor Company declared a break in the 12th round of collective bargaining negotiations with the management on the 22nd of last month, and then filed an application for mediation of the dispute with the Central Labor Relations Commission on the 23rd of the same month.

On the 4th, if the Labor and Management Committee decides that there is a large difference in the positions of labor and management and decides to suspend negotiations, the union can legally acquire the right to strike. It is known that the union will convene an industrial dispute countermeasure committee on the 6th to discuss the strike schedule.

In addition to raising the basic wage by 165,200 won (excluding salary increases), Hyundai Motor’s union is insisting on improving the salary system, abolishing the double wage system, recruiting new employees, extending the retirement age (in connection with the abolition of the wage peak system), and reinstating the dismissed workers as key demands for this year.

The union is also known to be demanding investment in a new factory dedicated to electric vehicles to secure additional work for production workers.

On the other hand, the management suggested the formation of a labor-management joint consultative body to strengthen the competitiveness of domestic factories.

It will be the first time in four years if the union actually goes on strike. In 2019-2021, Lee Sang-soo, the union chairman at the time, was evaluated as being pragmatic. From 2019 to last year, the union concluded a collective bargaining agreement without dispute in consideration of the Korea-Japan trade dispute and the situation of the new coronavirus infection (COVID-19). In 2019 and last year, the strike was passed through a vote in favor of the strike, but it did not lead to an actual strike.

Between 2012 and 2018, when the strong union executive took office, strikes were held for seven consecutive years. Hyun-ho Ahn, the current head of Hyundai Motor’s labor union, is also from the ‘Metal Solidarity’, an on-site organization within Hyundai Motor that is classified as strong. He believes that the possibility of a strike is high as he led a general strike with the Hyundai Motors union as chairman of the Hyundai Precision Industry Labor Union at the time of the struggle for layoffs at Hyundai Motor Company in 1998.

It is predicted that the Hyundai Motor union will go on strike in the middle or the end of this month, before the summer vacation, if the management does not present a comprehensive plan.

Shin Hyun-ah, reporter at Hankyung.com sha0119@hankyung.com