General Motors and South Korea have officially saved GM Korea from an uncertain future for the time being, but not everyone is happy. GM currently employs 2,000 temporary workers who have long argued they should be brought on as full-time employees. To show their displeasure, the group stormed a news conference minutes before its planned start time.
Reuters reported on Sunday that workers protested and stormed the venue about 15 minutes before the conference was set to begin. Around a dozen workers made their way into the building and began chanting and picketing.
Both GM Korea and GM International were to take part in the news conference, and the briefing was scheduled as the first following GM Korea’s new labor deal for the local union and the GM-South Korea bailout package.
The clash between temp workers and GM Korea dates back to last February. Then, a South Korean court said GM should recognize temporary workers as full-time employees. GM has since appealed the verdict. The temporary workers fear job cuts following GM Korea’s restructuring and bailout package.
Comments
Here’s some important factors: those who protestd against were temporary workers, who have been fired directly when GM claimed they’re in crisis in Korea. And temporary employees are recent issue inside South Korea, due to being easily stood on significantly inferior positions in every ways, and have increased amongst every populations. They can be laid off too easily, being paid in shoestring, and entrepreneurs are increasing numbers of those employees.
I’m not a fan of labor unions, because of feeling too much of sourness of their harsh, drastic words and the issue itself, but I can somehow understand them, more than permanent employees. Hmm, it seems like that GMK’s revival is still on the rough way…
“Dennis”, a little less obvious union propaganda and a little more facts (i.e. less bs)…
First, these workers should thank their lucky stars they even have jobs. Unions and union workers (and governments too) dont create jobs; companies and investors do. But ever notice how unions always have their hands out for big pay raises and bonuses when the good times are rolling claiming they helped make the success, but as soon as things go south they say “it is management’s fault” and wont take a pay cut to help out?
The facts are, GM saved these Korean workers jobs when their former employer Daewoo (a Korean company) went belly up and were about to throw their employees to the streets/ unemployment lines. The Koreans obviously cant manage their own economy well since it is pretty much collapsing and taking GM Korea with it…Oh, and that little issue of Koreans either being overly nationalistic and not wanting to buy a non-Korean owned company car or buying every BMW, Mercedes, etc. lthey can get their hands on ike their wealthy class does.
The GM union sheep need to either accept reality and no wage increases to keep their jobs or face the total collapse of GM Korea and all their jobs with it. Given the terrible tendencies of Korean unions, and union inability to actually create jobs themselves (or control their union bosses salaries and spending habits), I dont hold out much hope for the GM Korea union. Reap what you sow…
Actually, I agree your words. Unions of recent days were done something cautious; a rampage inside boss’ office done by some union members were troublesome enough to damaging their own jobs, and there were several members who call thieir union’s leaders “spies of Kaher Kazem”, due to their effort of negotiating with executives. Thanks for some leaders who try to face the reality, they managed to save their members in GMK. I even also agree GM has saved Daewoo Motors for several years – if GM haven’t bought Daewoo Motors, things could be worse, and first GM boss Nick Reiley certainly done his job well in Korea.
However, as much as how destructive the union’s recent behavior was, recent leadership of GM and GMK was destructive enough to pull GM Korea into troubles. GM cut almost every exports of GM Korea, the company where their domastic base was limited. Maybe Chevys came from South Korea were uncompetitive enough to sell in Europe, comparing with German-born Opel, and its ol’good partner Vauxhall.
Then, bigger problems were they also spoiled domestic market too; from 2013, every Chevys offered to Koreans were expensive yet lacked equipments what Koreans preferred with very little exceptions. When Koreans preferred 1.6L compacts due to tax matters, GMK’s Cruze from 2014 was only available unpopular-for-tax-matter 1.8L and efficient-yet-too-expensive 1.4L Turbo. In the case of Trax, for several years, GM only gave them gasoline turbos when Koreans favored theirs equivalents(ex. Ssangyong Tivoli) with diesel burners. Some of them were too outdated when they got axe, and also more expensive than competitors. Especially when many Koreans are shifting their cars into imports like nowadays, GM should put their efforts to keep their offerings competitive – even Hyundai and Kia are losing its market from imports(with aggressive unions of their own), but somehow managed to survive.
In short, GM managements also contributed to ruin GM Korea, as well as the union, by destroying both exports and domastic market of GMK. There was some remained export markets though, but they were too small to let it afloat. What GM need to do is give Koreans sustainable long-term plans and endorsement of sustainability to regain the faith. This would help turn the whole GM Asia-Pacific profitable, as well as good for GM Global.
Not this crap again. Corporate got stormed and trashed a while back as well.