GM Korea workers have accepted the carmaker's revised wage proposals for 2020, bringing to an end weeks of strike action at its plants and lost production.
Union workers voted in favour of the second wage proposal made by GM in a two-day vote at the end of last week, after rejecting the first proposal.
Go deeper with GlobalData
Workers have accepted GM Korea's offer of KRW4m (US$3,630) in performance-based pay and bonuses for 2020, while the carmaker agreed to drop the legal action it had filed against the union for the output loss due to this year's strikes.
GM Korea's US parent company had threatened to review its investments in the country due to the ongoing strike action, which is a regular occurrence during annual wage negotiations.
General Motors confirmed it will maintain production of the Trax compact SUV and the Malibu midsize sedan at its Bupyeong II plant in Incheon for as long as possible, contrary to union demands for a new vehicle production plan for the plant.
GM Korea has three vehicle assembly plants, two in Bupyeong and one in Changwon, with a combined production capacity of 630,000 units per year.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataGeneral Motors owns 76% of GM Korea shares, with state-run Korea Development Bank holding a 17% stake and China's SAIC Motor 6% of the company. In the first eleven months of 2020 GM Korea's global sales fell by 15% to 321,736 vehicles.
