R&D Unit Separation Plan Is Halted

Unionized GM Korea workers protest the company’s decision to separate its R&D unit near the Blue House near the Blue House on Nov. 24.

With GM Korea’s attempt to separate its R&D unit halted by the court, the company's unionized workers are toning down their protests.

Recently, the Seoul High Court put the brakes on the company’s attempt to spin off its R&D unit into a separate company by accepting a request for an injunction against the plan filed by Korea Development Bank, the company's second largest shareholder.

Under the circumstances, the workers refrained from holding their labor dispute meetings this week. The meeting has been held every Monday since the company announced its decision to separate the R&D unit. In addition, the workers decided on Dec. 4 to remove some of their all-night sit-in protest tents established at the Bupyeong Plant.

At present, the workers are focusing on regrouping rather than their strike based on a conclusion that the company is in no position to push ahead with the R&D unit separation plan.

The court blocked GM Korea’s attempt on Nov. 28 and the company is currently mulling over how to turn the tables. After the court ruling, GM International President Barry Engle visited South Korea and met with Korea Development Bank Chairman Lee Dong-geol to stress the need for the R&D unit separation.

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