Korea GM Union Secures Right to Strike... Central Labor Relations Commission Suspends Mediation

The Korea GM labor union has secured the legal right to strike, raising expectations that the intensity of its future actions will increase.

According to the Korea GM branch of the Metal Workers' Union on July 7, the Central Labor Relations Commission decided to suspend mediation in the wage negotiations between labor and management on this day. The decision was made because the gap between the two sides was deemed too wide to reach a compromise.

Previously, the union approved industrial action with a record-high approval rate of 88.2% in a strike vote held last month.

In the current wage negotiations, the union is demanding a fixed increase of 141,300 won in base pay and a performance bonus of 41.36 million won per person (based on 15% of net profit). The union also maintains that negotiations can only proceed if the company withdraws its plans to sell off some facilities at the directly operated maintenance center and the Bupyeong plant.

On the other hand, management has stated that customer service will be maintained through 386 partner maintenance centers, and that the employment of employees at directly operated centers will also be guaranteed.

The union has been strongly protesting through rallies and signature campaigns among its members, raising the possibility that the Central Labor Relations Commission's decision could lead to intensified actions, including a strike.

A representative of the Korea GM union stated, "If management does not withdraw its plans to sell, we plan to raise the level of our actions after internal discussions," adding, "All options remain open."