GM Korea, the South Korean manufacturing subsidiary of US automaker General Motors, has reached a wage agreement with its labour union, eliminating concerns about any further strike action. The agreement, the first among South Korean automakers and labour unions this year, came after workers affiliated with the Korean Metal Workers’ Union carried out a second week of partial strikes this month.
GM Korea confirmed that it had reached its tentative wage agreement with its union, following 17 rounds of negotiations, which includes a monthly basic salary increase of KRW 92,000 (US$ 63) and a KRW 15 million annual performance-related bonus.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
GM Korea also responded to union demands for a stronger commitment to future vehicle production in South Korea by committing to finalizing next-generation vehicle production plans by the third quarter of 2027. The automaker had already pledged to invest US$ 600 million to upgrade its local manufacturing operations for the production of next-generation models.
Other automakers, including Hyundai Motor, Kia Corporation and Renault Korea, have yet to reach a wage agreement with their labour unions this year.
