Remaining Staff at GM Korea's Gunsan Plant to Be Relocated

  • By Ryu Jung

    May 30, 2018 12:33

    GM Korea's plant in Gunsan shuts down completely on Thursday, and some 200 of about 600 workers who have refused to accept redundancy packages will be transferred to other plants.

    They will be transferred to plants in Changwon in South Gyeongsang Province, Bupyeong in Gyeonggi Province, Boryeong in South Chungcheong Province, and GM Korea headquarters in Bupyeong, the carmaker's union said Tuesday.

    The Gunsan plant last employed about 2,000 workers, most of whom accepted early retirement packages, but the 600 refused.

    The 400 who will not move decided to go on unpaid leave for up to three years but will be given the chance to fill vacancies at the other plants.

    The question is how they are going to live. The union wants the government to pay them each W1.8 million per month for the first six months, after which the union and the company will bear half of a monthly payment of W2.25 million for the remaining two-and-a-half years (US$1=W1,080). Some union members have rejected the offer.

    Originally, the union believed it would be possible to support them if about 10,000 union members chip in W10,000 a head per month. But they will now have to cough up about W45,000 per month as fewer workers resigned voluntarily than expected.

    "Some workers are complaining that they'll have to bear more expenses although their pay has been cut and their benefits reduced," a GM Korea executive said.

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