GM Korea's labor union launched an all-out strike on Sept. 9, demanding a hike in basic salary. It is the first time GM Korea's labor union has launched an all-out strike involving all its members since General Motors took over the company in 2002.
The auto industry feared that the union's earlier partial strike and the all-out strike this time will result in a total of 10,000 units in production loss over the three-day period.
The GM Korea branch of the Korean Metal Workers' Union launched an all-out strike from Sept. 9 to 11, involving all of its members. GM Korea's labor union representatives blocked all entrances to GM Korea's Bupyeong plant, except the West Gate, and banned members from entering the union.
The strike will involve 10,000 members, including 8,000 members from GM Korea and 2,000 from GM Technical Center Korea, its new R&D company.
GM Korea's labor union is proposing a demand for collective bargaining in wage negotiations that include a 5.65 percent increase in basic salary, a 250 percent bonus for ordinary wages and 6.5 million won for boosting morale.
It also calls for assurances on plans for sustainable development at the Bupyeong 2 plant in Incheon, mid- and long-term business plans for the Bupyeong engine plant and engine production at the Changwon plant.
"The management has not even come up with a plan to allocate new car supplies to the Bupyeong 2 plant even after 2022," a GM Korea union official said. "The strike is inevitable because it is obvious that the second plant will be shut down and laid off in 2022."
In response, the management said a wage freeze is inevitable as it has been suffering from financial difficulties, with its cumulative deficit reaching 5 trillion won for five years from 2014.
