Renault Samsung Union Ordered to Halt Strike
Union Losing Momentum Accepts Negotiations with Civic Group Council
Company: "First Confirm Sincere Negotiation Attitude... Workplace Lockout to Continue for a While"
[Asia Economy Reporter Suyeon Woo] The Renault Samsung Motors labor union, which has been on strike for about a month since the end of last year, decided on the 21st to stop the strike and fully return to work. As the strike lost momentum due to a decline in participation rates and the company's response with a workplace lockout, they agreed to accept a third-party proposal to resolve the dispute together with civic groups.
On the 21st, the Renault Samsung union announced that all union members would report to work normally for both day and night shifts. At the same time, they added that they would participate in the 'Renault Samsung Motors Development Busan Citizens' Meeting (tentative name)' proposed by the Busan Economic Revival Citizens' Coalition to promptly conclude the 2019 wage and collective bargaining negotiations.
Earlier, the Renault Samsung union had been conducting partial and full strikes since December 20 over the 2019 wage and collective bargaining negotiations. However, as the strike participation rate fell below 30% and internal support for the strike waned, some union members enforced a 'guerrilla-style designated strike,' taking turns striking by the hour. In response, the company implemented a partial workplace lockout from the 10th, completely eliminating the night shift.
As the union and management continued their standoff, civic groups stepped in to save partner companies and the local economy. On the 14th, the Busan Economic Revival Citizens' Coalition issued an urgent statement urging the 'Renault Samsung Motors Development Busan Citizens' Meeting (tentative name),' composed of Busan City, Busan City Council, Busan Chamber of Commerce and Industry, civic groups, and parts industry representatives, to resolve the labor-management conflict at Renault Samsung.
The union accepted this civic group proposal and agreed to proceed with three-party negotiations. This was because the strike participation rate remained below 30%, and the company's tough measure of workplace lockout further diminished the strike's effectiveness.
On the other hand, the company maintains that dialogue can only resume if the union withdraws the strike and adopts a progressive negotiation stance. Therefore, it remains uncertain whether they will participate in the third-party consultative body and engage in negotiations. A Renault Samsung official stated, "We set mid-February as a sincere negotiation period and requested a peaceful interval, but the union rejected it," adding, "We will continue the workplace lockout for a while until we are confident not only in the strike withdrawal but also in sincere negotiations."
Renault Samsung labor and management have held 12 rounds of negotiations over last year's wage and collective bargaining but have yet to narrow their differences. The union is demanding an 8.01% increase in base pay, while the company insists that a base pay increase is difficult amid the crisis of facing a production cliff.
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