Hyundai Motor exercises serious power trip on subcontractors
Hyundai Motor exercises serious power trip on subcontractors
  • Lee Jun-sung
  • 승인 2018.11.29 11:30
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Image: KBS News capture
Image: KBS News capture

Hyundai Motor has been caught again while conducting a serious power trip on its subcontractors. It has been revealed that Hyundai Motor has been interfering with the subcontractors’ sales and operating profits, how much employees' salaries are paid, and whether the labor union is created, the KBS reported on Nov. 27.

In response, Hyundai Motor earlier denied the allegation, but later said, “We are sorry to have had some misunderstanding.”

According to the KBS report, the letters HMC are seen in the document sent by Hyundai Motor's primary partner to a secondary supplier. It will be sent to Hyundai Motor so that the company's financial information such as sales and operating profits and employee wage details should be reported.

It is also required to report whether the labor union was established and whether it was the Federation of Korean Trade Unions or the Korean Confederation of Trade Unions. Hyundai Motor also asked the primary partner to report the secondary supplier’s appraisal by dividing the evaluation of the attitude of its president into three categories.

Under the current subcontract law, the original company’s management information request to subcontractors is classified as unfair management intervention and is considered illegal.

Hyundai has denied such facts. However, it changed its words, saying, "We didn't intend to engage in the management of business partners, and we are sorry to have some misunderstanding on some items."

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