Putting an End to Drawn-out Conflict
GM Korea unionists have approved the provisional wage agreement for 2019, putting an end to the labor-management conflict that has continued for the past 10 months.
The company said on April 14 that 53.4 percent (3,860 unionists) of the 7,233 unionists who cast a ballot were in favor of the provisional agreement. The vote was held on April 13 to 14.
The labor and management of GM Korea agreed to freeze wages and not to pay performance-based bonuses based on the terms of the agreement in 2018. Instead, if a union member purchases a new GM Korea car, the company will grant an additional discount of 1 million won to 3 million won per person. The deal does not include an increase in basic salaries, which has been demanded by the trade union since 2019, and the payment of performance-based bonus. In addition, a separate discussion will be held regarding a lawsuit for damages filed by the management during labor strikes.
“The recent coronavirus spread has pushed the labor and management of GM Korea towards a consensus that they should band together to overcome the crisis,” an auto industry insider said. “The end of the long labor-management conflict will give GM Korea strong momentum to surmount the crisis with a focus on the Trailblazer.”