Hyundai Motor Plants Halt Amid Full Strike

Production lines at Hyundai Motor completely halted for the first time in a decade, marking the first full eight-hour strike since 2016. The Korean Metal Workers' Union launched the action on August 21, with union members in both morning and afternoon shifts staying away from work. The strike affected plants in Ulsan, Jeonju, and Asan, leading to a suspension of operations and the absence of about 39,000 workers, including office staff.

The eight-hour strike was the most intense yet, halting vehicle production for a total of 16 hours that day. The union's decision to halt all activities came after frequent partial strikes of two to six hours. This strike brought the total strike hours for Hyundai Motor to 60 hours this year, which equates to 120 hours of production line inactivity.

Industry experts estimate that this has resulted in a loss of 55,200 vehicles, worth over 2.3 trillion won ($1.77 billion) in sales. The union's main demands include a 50% bonus increase, the reinstatement of dismissed workers, and an extension of the retirement age. The union believes the company can afford these demands due to its significant retained earnings of 101.3 trillion won ($77.92 billion).

However, management refuses to negotiate, claiming the union's demands have no legal or reasonable foundation. Management's stance is that extending the retirement age is a political matter and that dismissing union members is not on the table. Despite resuming talks on August 18, negotiations have stalled, with union leader Lee Jong-cheol insisting on a specific proposal before engaging in further talks.

If management does not change course, the union plans to convene a Central Dispute Countermeasures Committee meeting on August 25 to consider further strikes.