Hyundai, Kia workers vote to strike
More News from Agence France-Presse
Ignoring an appeal from management, labor unions at Hyundai and its affiliate Kia Motors opted for industrial action, which will begin after a legally-binding period of mediation which typically lasts around 10 days.
Hyundai’s union wants a 130,500 won ($120) increase in basic monthly salary for workers, a performance-based bonus equivalent to eight month wages and a one-off shared cash payment for members amounting to $2.4 billion — or 30 percent of last year’s net profit.
Kia’s union has presented similar proposals.
The Hyundai management had tried to avoid a costly stoppage with a message to unionized workers saying the company could not afford to meet their demands at a time of heightened competition and slowing growth in overseas markets.
“We’ve seen a decline in our earnings because foreign brands quickly eat into our domestic market share and the economy at home and abroad remains sluggish,” the message said.
The union staged 28 partial strikes between July and September last year, cutting production by more than 82,000 vehicles valued at 1.7 trillion won ($1.5 billion).
Kia lost an estimated 1.03 trillion won to industrial action in 2012.
Hyundai’s second quarter net profit this year fell 1.0 percent from a year earlier to 2.52 trillion won.
Get Inquirer updates while on the go, add us on these apps:
Disclaimer: The comments uploaded on this site do not necessarily represent or reflect the views of management and owner of INQUIRER.net. We reserve the right to exclude comments that we deem to be inconsistent with our editorial standards.
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City,Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94