The labor union of GM Korea has secured legal right to strike as the National Labor Relations Commission decided on Aug. 8 to suspend arbitration on the dispute over wage negotiations between the labor union and management at GM Korea.
The commission decided to suspend arbitration because it found it difficult to make a compromise for the two sides.
GM Korea unionists held a strike vote when there was a disagreement between the labor and management over the negotiation venue earlier in mid-June. Of the 8,055 union members, 74.9 percent voted for strike. At the end of June, however, the National Labor Relations Commission decided to provide an administrative guidance over the labor-management dispute at GM Korea. As a result, the labor union held seven bargaining sessions with the management, but failed to iron out the differences.
Automobile industry watchers forecast that the labor union will go on strike as unionists have already voted for strike.
In the meantime, the labor union demands a 5.65 percent increase in basic salaries, a 250 percent bonus, and 6.5 million won for the enhancement of employee morale. In addition, the labor union demands sustainable development plans for Bupyeong Plant 2 in Incheon, mid- and long-term business plans for Bupyeong Engine Plant, and a promise to continue engine production at Changwon Plant. The management said that it was difficult to accept the union’s demands.