As subsidiaries of Hyundai Mobis launched back-to-back strikes, production at some plants of Hyundai Motor and Kia that source parts from those companies was halted.
According to the industry on the 24th, Motras and Unitus, production-specialized subsidiaries of Hyundai Mobis, went on day-and-night strikes starting this morning. The labor unions of the two corporations began four-hour walkouts each by the morning shift and the afternoon shift starting this morning.
The unions voted to strike, demanding 100% job security for the future and base pay and bonuses on par with finished-vehicle makers. The intent is that employment must be guaranteed unconditionally until the employee declares an intention to resign.
In the case of Motras, the company proposed raising the monthly base salary by 78,000 won, but the union decided to strike, saying there was a big gap with the level agreed between labor and management at Hyundai Motor (a 100,000 won base pay increase). The Motras union also joined the Korean Confederation of Trade Unions (KCTU) general strike on Jul. 16 and downed tools for four hours.
The partial strike also halted some Hyundai Motor and Kia plants. At Hyundai Motor's Ulsan plant, most production line operation rates fell, and some production lines were suspended. Motras supplies modules, including electronic devices, to Hyundai Motor.
Kia Autoland Gwangju is also experiencing production disruptions. Of the three Kia Autoland Gwangju plants, operations at Plants 1 and 2 were suspended from the afternoon. Plants 1 and 2 produce more than 1,000 finished vehicles a day, including the Sportage, Soul and Seltos, but the production lines stopped as inventories of electronic device modules used as parts ran low.
Hyundai Mobis launched Motras and Unitus in 2022 as part of management efficiency efforts. It integrated partners scattered nationwide into two companies to strengthen manufacturing capabilities for automotive modules and core parts.