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Labor and Management of Renault Samsung Motors Reach Tentative Agreement on Wage Hike
Labor Calls off Full Strike in 7 Days
Labor and Management of Renault Samsung Motors Reach Tentative Agreement on Wage Hike
  • By Jung Min-hee
  • June 13, 2019, 11:05
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The labor union and management of Renault Samsung Motors have reached a tentative agreement on wage hikes.

The Renault Samsung Motors labor union canceled its all-out strike in seven days on June 12 with the majority of its members refusing to participate in the strike. The management of the company, which is planning to file a damage suit against the union, canceled its partial lockout in one day in response to the union’s decision.

The union and management resumed their wage negotiations in the afternoon of June 12 and reached their second tentative agreement since May 16. The union is going to hold a plenary meeting in the near future to put it to a vote.

The majority turned their back on the leaders of the union because they put the survival of the company first. “The all-out strike can lead to more uncertainties and less work to do with Renault assigning the production of more cars to its plants outside South Korea,” said one of the workers.
 

The damage suit put a huge pressure on the union leaders, too. The management mentioned that they would have to be responsible for a daily production loss of no less than 14 billion won. In addition, the local community including smaller firms working with Renault Samsung Motors criticized the company for the long-lasting strike.