First Strike in 20 Years?
The labor union of Hyundai Heavy Industries is expected to take its first strike in 20 years. The union will vote on the strike from Sept. 23 to 26.
The National Labor Relations Commission recently decided on an extension of mediation in response to the union’s request for mediation. The management and the union are to have negotiations until Sept. 25, but have failed to make a breakthrough. Once the union goes on strike, it will be the first walkout in 20 years.
Under the circumstances, the company is expected to face an even more severe crisis in the wake of the record loss of the second quarter.
“It is true that Korea is still the number one in the global shipbuilding industry, but China is emerging rapidly and Japan is recovering itself on the back of the weak yen,” said an industry expert, adding, “The strike in Hyundai Heavy Industries will have a negative impact on the entire shipbuilding industry of Korea, as well as the company itself.”