HD Hyundai Heavy Industries (329180) union has launched a partial strike after failing to narrow differences with management in wage negotiations.
The union, a branch of the Korean Metal Workers' Union, staged a seven-hour partial strike on the 2nd, led by expanded leadership including executive officers, bargaining committee members and delegates, according to industry sources. Special vessel operations and night shifts were excluded from the walkout.
The union will continue partial strikes led by officials on the 4th. On the 8th and 10th, union members will hold rotating partial strikes by organizational unit. All members plan to join a four-hour partial strike on the 15th.
Labor and management held 17 rounds of talks after their first meeting in June but failed to reach an agreement. The union has demanded a 149,600 won increase in base pay, a 100% increase in bonuses, and performance pay equal to at least 30% of operating profit, arguing that wage adjustments should reflect the shipbuilding industry's boom. Management has said it cannot accept the demands, citing future investment burdens.
After talks stalled, the union filed for mediation with the National Labor Relations Commission. The commission suspended mediation after two sessions, giving the union the legal right to strike. In a strike vote covering 8,127 union members, 5,379 voted in favor, or 66.18% of those eligible.
The two sides increased negotiations to three times a week, running intensive talks in parallel to speed up a deal. They are scheduled to meet again on the 3rd and 4th. An HD Hyundai Heavy Industries official said the goal is to reach a settlement before the Chuseok holiday.
Industry watchers said the union could move to a full strike if the intensive talks remain deadlocked. A union official stressed that what matters is a responsible proposal from management.
