Hyundai's Korean Unions Vote to End Strike

Hyundai_booth

Less than a month after labor unions in Korea voted to strike over stalled wage negotiations at Hyundai, the automaker reached an agreement with Korean autoworkers that could resume production in a matter of days. The Detroit News reports the strike, which began Aug. 20, has cost Hyundai more than 50,000 cars and some $910 million at current exchange rates in lost production.

Hyundai's Kia affiliate remains in negotiations. Resumed Korean production for both brands would raise supply for more than 40% of Hyundai-Kia's U.S. sales, including cars like the Hyundai Accent, Tucson and Genesis. Automotive News reports Hyundai-Kia's U.S. inventory declined to a  41-day supply on Aug. 1, down from July's 46-day stock. Both figures are well below the industry average, which was 56 days on Aug. 1. Automotive News has yet to report Hyundai-Kia's September inventory.

The Detroit News says Hyundai's 46,000 union members will vote Sept. 9 on the agreement, in which Hyundai agreed to raise base salaries and pay onetime bonuses. Hyundai-Kia's U.S. facilities in Alabama and Georgia haven't been affected. Should the vote pass, the strike would be shorter than Hyundai-Kia's 2012 strike overseas, which lasted from July to September 2012.

Comments 

Atum

Unions are terrible. They protest all the time, are run by Liberals, and are just massive crime rings that can get away with anything. Not to mention they do stuff like this: wasting nearly a billion dollars with no one complaining. These workers should all be fired.

Yes, unions are terrible. They only improved working conditions, gave us the forty hour work week, and made sure that everyone was treated fairly.

Do modern-day unions have some faults? Sure... but don't think for a moment that if manufacturing thought they could get away with it, they wouldn't make everyone in a rural town working at their factory with no other jobs around 'salary' and would let safety lapse. I'd trust a union before a corporation any day.

Brad

Unions suck unless you're one of the fat cats at the top living a lavish lifestyle off the backs of the workers. It's no surprise union membership continues to nose dive to an all time low.

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