Hyundai Steel will lift the workplace closure of its Dangjin steel plant's cold-rolling factory on the 12th, the first such closure since its establishment in response to the union's strike. This decision comes about 16 days after the closure was announced at noon on the 24th of last month. The union is also expected to withdraw the partial strike related to wage and collective bargaining negotiations on the 13th.
According to Hyundai Steel on the 11th, the company will lift the workplace closure of the Dangjin steel plant's pickling line/tandem cold mill (PL/TCM) at 7 a.m. on the 12th. The PL·TCM facilities have not been operating, causing a halt in the entire cold-rolling process, but production of cold-rolled steel plates is expected to resume.
The Hyundai Steel union plans to withdraw its partial strike, which has been ongoing since January, at 7 a.m. on the 13th. The union declared a deadlock in negotiations after finishing discussions on the 19th and had not continued negotiations, but it is now planning to resume talks.
The Hyundai Steel management and union have been negotiating since September of last year but have not reached an agreement after over 22 rounds of main negotiations. The union rejected the company's proposal to provide a performance bonus of 400% of the base salary plus a fixed 10 million won, instead demanding the highest level of performance bonuses within the group. The union's demand for performance bonuses is known to be around 500% of the base salary and a fixed 18 million won.
Previously, Hyundai Steel announced that between the 1st and the 22nd of last month, production losses of 270,000 tons in the cold-rolling section occurred due to labor disputes, resulting in approximately 25.4 billion won in losses. In a statement, CEO Seo Gang-hyun appealed, saying, "While the company's performance has declined to a serious level, we have offered the maximum amount of performance bonuses that can be sustained. I earnestly request everyone to gather their strength and wisdom to promptly finalize collective bargaining and navigate the crisis at hand through dialogue and compromise."
Hyundai Steel reported in January that it recorded sales of 23.2261 trillion won and an operating profit of 314.4 billion won last year. These figures represent decreases of 10.4% and 60.6%, respectively, from the previous year. On the 24th of last month, the company announced a revision to its operating profit to 15.95 billion won, reflecting the company's performance bonus plan, an 80% reduction.