SEOUL -- General Motors' unionized workers in South Korea will strike Monday to Wednesday over stalled wage talks and concern of another plant shutdown, union officials said on Friday, the first full walkout since GM bought local factories in 2002.
The decision came after the union rejected GM's proposal for a base wage freeze and no bonuses for a second year in a row.
Last year, the government injected 850 billion won ($712.85 million) into the money-losing unit after the U.S. automaker considered pulling out of the country. GM shut one of its four Korean factories following its pullback from major export market Europe and cut around 3,000 jobs.
The government at the time said the injection would keep GM in South Korea for at least another 10 years. Even so, union officials continue to be concerned about further closures and job losses.
GM has not offered any production plan for No. 2 plant in the city of Bupyeong after 2022, union officials said.
GM Korea has said it will shift production of its Trax crossover to the plant from another nearby factory starting late this year. It did not provide longer term plan when contacted by Reuters.
What crazy person will stage a full strike for three days under this economic situation? We are going on a strike because we are desperate," said a GM Korea union leadership official.
"We are fine with no wages, but we want to hear GM's vision about the Korean unit," said the official, who declined to be identified due to the sensitivity of the matter.
GM said it aims to break even in Korea this year for which it needs union cooperation.
"It is unfortunate that the union decided to go on strike. The company has been delivering on commitments and we ask the union to do the same for the future of GMK," GM Korea (GMK) said in a statement on Monday.
GM just pumped another $3.6 billion dollars to invest in new products into propping up the South Korean jobs at this huge loss making concern.
GM May 12, 2018 — General Motors says it will throw a $6.4 billion life preserver to its South Korean unit in an effort to keep GM Korea afloat in the midst of a sea of financial troubles. LINK
What are General Motors a benevolent overseas aid charity for keeping overpaid greedy South Korean workers in a job?
General Motor South Korean sales in August 6,411 sales down -13.3%
Cant see why General Motor are flushing billions of US made Silverado profits down the drains every year to prop up such crap sales numbers that continue in free fall unabated every year in South Korea.
It is pretty obvious GM are never gonna never ever going make any profit ever on the roof of few thousand Sparks sales assembled by greedy overpaid South Korean every month, Barra needs to read the riot act to thier greedy unions.