[Alpha Biz= Reporter Kim Sangjin] The strike by the union of Hyundai Transys, a parts affiliate of Hyundai Motor Group, has entered its nearly month-long duration, leading to increasing disruptions in production.
According to the automotive industry on November 3, the Hyundai Transys union began its strike last month after struggling with negotiations over wages and collective agreements since June. The largest facility, the Jikok plant in Seosan, South Chungcheong Province, initially entered a partial strike on October 8, which escalated to a full strike starting October 11.
The union and management are at odds over the amount of performance bonuses. The union is demanding a bonus equivalent to 2% of last year’s annual revenue (approximately 11.7 trillion KRW), amounting to about 234 billion KRW. In contrast, management has proposed a bonus of “400% of base salary + 12 million KRW” (totaling 107.5 billion KRW), leaving both sides at a stalemate.
As the strike continues, reports indicate that production of automatic transmissions and other parts supplied to complete vehicle manufacturers is facing disruptions.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
