Hyundai Co-CEO Resigns Amid Worker Unrest in Korea

Hyundai Vice Chairman and co-CEO Kim Eok-Jo, who heads the auto maker’s labor-relations activity, resigns, citing personal reasons.

The high-profile chief executive’s resignation comes two days after the Hyundai annual shareholder meeting was held March 15.

News media in Korea report Kim’s resignation coincides with refusals by the Hyundai workers union to work the past two weekends.

Kim, 61, has held his post for one year and presided over Hyundai’s 2012 shareholders meeting. Highly visible as a Hyundai leader, just a week ago he announced the Korean launch of serial production of the auto maker’s Tucson Fuel Cell SUV.

In the same week he spoke at a Hyundai-sponsored job fair in Seoul in which he said the auto maker is trying to fill 10,000 jobs for its small and medium-size suppliers who have had difficulty attracting employees.

Prior to becoming vice chairman Kim was the popular president of Hyundai Motor Mfg. Czech and headed all operations as CEO at the auto maker’s production complex in Nosovice, Czech Republic.

Workers in Korea have refused weekend shifts at all plants to pressure management to meet a demand that they receive compensation for their full workweek, including previously scheduled overtime, even though their hours have been cut under a new shift arrangement.

Hyundai management reduced plant schedules from two 10-hour days to one 8-hour day shift and one 9-hour afternoon shift.