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The workers and management of Kia Motors have reached an interim agreement for the salary and the 2020 collective agreement. The issue of “restoration of 30 minutes of overtime”, which became the biggest problem, it was agreed to restore 25 minutes. On the 29th, the union members vote for or against.
The workforce and management reached a tentative agreement for 2020 in the 16 major negotiations held at the Sohari plant in Gwangmyeong, Gyeonggi-do after overnight negotiations from the day before the 22nd until dawn of the day. The interim agreement included a base salary freeze, 150% management incentives, 1.2 million won for special incentives, and 1.5 million won for traditional market gift certificates.
The issue of restoring 30-minute overtime work, which became a problem, was agreed on on the same 25-minute line as Hyundai Motor Company. The workforce and management decided to increase productivity by improving 0.3UPH (production per hour) per line. Actual overtime is extended by 5 minutes for day and night hours, increasing a total of 10 minutes.
When the first test ruling that included bonuses on normal wages was issued in 2017, the company changed the type of work to two consecutive weekly shifts in 2016 to reduce the burden of labor costs and eliminated the agreed 30-minute overtime for secure real wages. The branch called for the restoration of overtime work, claiming that the loss of wages due to the abolition of overtime work was great. The issue of restoring overtime is a key commitment of the current executive.
Regarding the extension of the retirement age, it was agreed to expand the veterans system. Previously, retirees worked on the condition of working for one year from July 1 to the end of June of the following year. This has been reorganized so that they can work from January 1. The contract is renewed every 6 months and you can work in a different work group if you wish.
Regarding the job security plan after the transition to the future automobile, labor and administration system △ Ensure global competitiveness and maintain the employment of incumbent workers △ Respond to changes in the paradigm of the future automotive industry (prospects of medium and long-term operation for 11 models of full-line electric vehicles) △ Administration and management of positions to respond to future changes △ An effort was agreed to ensure quality competitiveness. On the issue of “factory production of basic parts for electric and hydrogen vehicles”, it was decided to discuss in detail in the Employment Stability Committee after the conclusion of the agreement.
The branch plans to vote for and against the tentative agreement on the 29th, beginning with the absentee ballot on the 28th. Approved if more than half of the registered members agree.
Kia Motors’ workforce and management had come into conflict over disagreements such as restoring 30 minutes of overtime and extending the retirement age after the Aug. 27 meeting. The branch declared a breakdown of the negotiations and carried out a partial strike for four weeks from the 25th of last month.
