GM Korea Workers Ratify Pact

GM Korea’s workers union says a majority vote of its 10,164 members has ratified a tentative wage and working conditions agreement.

Virtually all of the union members (10,045), took part in the vote, with 55.9% accepting the agreement.

The wage settlement includes 7 million won ($6,565) in performance and quality incentive bonuses and a 78,828 won ($75) per month salary increase.

The wage hike is roughly half of the 150,611 won ($142) demanded by the umbrella Korea Sheet Metal Workers Union that represents the workers. The KMWU also had asked for bonuses equal to 30% of the company’s 2010 net profit.

The union has made the identical demand of management at both Hyundai and Kia, which still are in bargaining sessions.

Analysts expect both Hyundai and Kia to complete their negotiations by the end of this month, when the Korean auto industry traditionally shuts down for summer vacation.

Workers at Ssangyong ratified a labor agreement in May. There is no workers union at Renault Samsung Motors.