Hyundai Motor has called for mediation with a state-run labour body in an attempt to head off a possible strike.
Union officials and management are set to hold their first meeting with the National Labour Relations Commission next Wednesday, according to the Yonhap news agency.
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The move came a day after the union it said its talks with the management over a nearly three month old wage deal collapsed. The mediation is set to end on 19 August when the commission can either ask the union and the management to hold more negotiations or halt its mediation, meaning the union can strike.
However, a union spokesman told Yonhap: “We will go on a strike, no matter the outcome on 19 August.” He added that 45,000 unionised workers were set to vote on strike action.
Under South Korean law, a union cannot down tools during the commission’s mediation period.
The union is seeking an increase of KRW130,498 (US$117) in basic salaries and an extension of the retirement age to 61, as well as other benefits.
Hyundai said it had no immediate comment on the situation. The company has been dogged by strikes for decades with workers walking out almost every year since 1986 with the exception of 2007, 2009, 2010 and 2011, according to the carmaker.
