Hyundai Motor, despite Central Labor Relations Commission ruling, fails to announce principal-contractor negotiations… Metal Workers Union: “Right to negotiate infringed for 1,600 workers”
English translation of the original Korean report. Images and source documents may contain Korean text.
Metal Workers Union condemns Hyundai Motor at press conference in front of Ulsan plant on the 4th… also raises issues of bonus suspension and dismissed workers
The Korean Metal Workers’ Union protested, saying Hyundai Motor has not implemented negotiation procedures with subcontracted workers despite the Central Labor Relations Commission’s ruling recognizing its status as the principal contractor.
The union said that for about eight months since the negotiation request, some 1,600 subcontracted workers have been unable to exercise their right to negotiate with the principal contractor, and urged Hyundai Motor to immediately announce the fact of the negotiation request.
According to the Metal Workers Union on the 4th, at a press conference held at 11 a.m. that day in front of the main gate of Hyundai Motor’s Ulsan plant, Metal Workers Union Vice Chairman Kim Hyung-soo criticized Hyundai Motor, saying, “It is outright refusing even the minimum procedure guaranteed by the Trade Union and Labor Relations Adjustment Act—the announcement of the fact of a negotiation request.” He argued that the company is “delaying and infringing on the rights of non-regular workers by buying time through legal disputes,” and demanded the start of principal-contractor negotiations in accordance with the Central Labor Relations Commission’s ruling.
Kim Young-a, head of the Metal Workers Union’s Hyundai Green Food Jeonju chapter, raised issues regarding the treatment of cafeteria workers. Chapter head Kim said, “The principal contractor avoids responsibility, and the subcontractor says it has no authority,” and pointed out, “Although the principal contractor actually holds the authority to determine working conditions, they are passing the buck on bargaining responsibility.” He emphasized that workers who have provided meals at Hyundai Motor’s plant for 25 years are demanding fair compensation for their labor and a safe working environment.
Cho Chang-min, senior deputy head of the Korean Confederation of Trade Unions’ Ulsan regional headquarters, also raised the issue of 29 dismissed workers from Lee Soo Enterprise, a Hyundai Motor in-house subcontractor. He claimed that the Ministry of Employment and Labor recognized illegal dispatch regarding them and issued corrective measures to Hyundai Motor, but the company has not presented an implementation plan. Baek Myeong-il, chapter head of Hyundai Motor’s Asan Plant In-house Subcontractor Chapter, pointed out job insecurity due to automation of production facilities and changes in subcontractors, and demanded the establishment of employment measures for non-regular workers.
■ Despite recognition of employer status for occupational safety, bargaining procedures remain stalled
The Metal Workers Union demanded principal-contractor negotiations from Hyundai Motor on March 10, the effective date of the revised Trade Union and Labor Relations Adjustment Act. Thereafter, six negotiation schedules were arranged from April 22 to June 11, but Hyundai Motor’s side did not attend. In a response on April 20, the company rejected the negotiation request, arguing that it is not a party to employment contracts with subcontracted workers and does not qualify as an employer that substantively and specifically controls and determines working conditions.
However, the Ulsan Regional Labor Relations Commission partially recognized Hyundai Motor’s status as the principal contractor on June 15, and the Central Labor Relations Commission also upheld the initial ruling on August 31 in a review, recognizing employer status regarding occupational safety-related working conditions in the production, cafeteria, security, and facility cleaning sectors.
On the other hand, it did not recognize principal contractor status for the automobile sales sector. The revised Trade Union and Labor Relations Adjustment Act stipulates that even if not a direct party to an employment contract, an entity is recognized as an employer within the relevant scope if it substantively and specifically controls and determines working conditions.
The Metal Workers Union stated that after receiving the Central Labor Relations Commission’s decision document on October 27, it again urged Hyundai Motor to announce the fact of the negotiation request, but it has not been implemented. The union claimed that Hyundai Motor is changing its subcontracting contracts with partner companies and also plans not to pay performance bonuses this year to cafeteria, security, and cleaning workers who had been receiving them. However, specific details of the bonus suspension policy and the company’s latest position require further confirmation.
The Metal Workers Union urged the Ministry of Employment and Labor to provide corrective guidance regarding Hyundai Motor’s failure to implement the announcement of the negotiation request and to prosecute unfair labor practices. The union stated at the press conference, “If Hyundai Motor ultimately ignores its legal obligations and blocks principal-contractor negotiations, we will respond with even stronger struggle.”
Even after the Central Labor Relations Commission’s ruling, negotiations have not begun, and labor-management conflict over whether Hyundai Motor will implement the announcement and the scope of future negotiations is expected to continue.