Hyundai Motor faces first full-day strike in a decade this week

SEOUL, August 19 (AJP) - Unionized workers at Hyundai Motor are set to stage their first full-day strike in a decade later this week as South Korea's metalworkers' union expands labor action across the auto industry.

Beginning with four-hour partial strikes on Wednesday and Thursday, the automaker's union has decided to launch an eight-hour full-day strike on Friday, followed by another four-hour walkout next Monday and Tuesday.

Another round of strikes follows a series of walkouts last month and earlier this month after wage talks with management failed to reach an agreement. Friday's full-day strike would mark the automaker's first such strike since 2016.

Meanwhile, the Korean Metal Workers' Union said it will stage a broader auto-sector strike later this week, with auto-parts and subcontracted workers stopping work on Thursday, followed by finished-vehicle workers on Friday.

The union said the strikes are intended to pressure the automaker over supplier prices, direct talks with subcontracted workers and demands to raise the retirement age. It also accused the company of asking suppliers to cut costs by up to 20 percent by 2027, saying that this could put more pressure on smaller parts makers and their workers.
  It also urged the government to set up a joint body with labor and businesses to protect parts workers, ensure direct talks with parent companies and raise the retirement age without cutting workers' pay.

Industry estimates put Hyundai Motor's accumulated production stoppage this year at 88 hours, following several rounds of partial strikes since mid-July.

Based on the company's domestic production and sales last year, the strikes so far are estimated to have affected about 40,000 vehicles and 1.7 trillion won in revenue. If the additional strikes halt production for a combined 48 hours, the losses could rise to about 62,000 vehicles and 2.6 trillion won in revenue.

Workers at affiliate Kia are expected to decide separately whether to join the joint strike.

Similar moves are also spreading to the steel industry, where POSCO's union has secured the legal right to strike for the first time since the steelmaker was founded in 1968, though it plans to continue negotiations before taking any immediate action.

AJP Takeaways
• Hyundai Motor workers are set to hold their first full-day strike in 10 years on Friday.
• The walkout is part of additional Hyundai union action scheduled across five days.
• The Korean Metal Workers' Union will stage a two-day auto-sector strike involving parts, subcontracted and finished-vehicle workers.
•  Industry estimates put Hyundai's potential production loss at up to 62,000 vehicles if the latest stoppages proceed.

Copyright ⓒ Aju Press All rights reserved.