Hyundai Motor’s South Korean union will stage a four-hour strike on Thursday to protest against the automaker’s move to set up a low-cost carmaking joint venture, a union source told Reuters.
The decision was made during a meeting of union representatives on Wednesday, he said.
A union spokesman confirmed the plan.
Gwangju is home to Hyundai affiliate Kia Motors’ factories and the political stronghold of the liberal Moon government, which has made job creation its top election pledge.
Hyundai is expected to invest 53 billion won ($47.5 million)for a 19 percent stake in the joint venture, while Gwangju will spend 59 billion won for a 21 percent stake. The rest 167 billion won will be provided by suppliers and the local economy.
The preliminary agreement includes an annual wage of 35 million won ($31,492), a city official said. The annual wage is less than half the average 92 million won wage for existing Hyundai workers.
Source: Reuters
