Kia workers approve deal, end strike

REP. OF KOREA: On July 23, unionised workers at Kia Motors voted by a two-thirds majority to ratify the collective bargaining agreement reached on July 19 between union negotiators and management at South Korea’s No. 2 automaker. After a month-long partial (12-hour-a-day) strike over improved wages and bonus payments, workers accepted the company’s offer of a monthly pay hike of 9.1 per cent, or 95,000 won (US$82.18), and a “performance” bonus of 150 per cent of the monthly wage plus 800,000 won (US$692). In addition to this, each worker will receive a special incentive bonus of 1.5 million won (US$1,292). Other key points in the settlement include: The deal secured by the Kia union, a member of the IMF-affiliated Korean Metal Workers’ Federation, is similar to that reached back in June at Kia’s parent company, Hyundai Motor, where workers also took industrial action in order to achieve their goals.