GM South Korea workers reject wage pact, more strikes may occur

GM South Korea workers reject wage pact, more strikes may occur
By ROSE KIM / Bloomberg News
General Motors Co. workers in South Korea voted against a wage pact reached earlier this week, increasing the likelihood of continued production loss from partial strikes that began last month.

GM Korea workers rejected the tentative agreement between their representatives and the company, Choi Jong Hak, a spokesman for the union, said by phone Friday. He did not elaborate on future plans.

Rejecting the wage deal increases concern that prolonged strike action will further crimp output at the automaker, which has lost 13,300 units of production since work stoppages began on July 10. GM’s factories in South Korea produce Chevrolet vehicles for the domestic market and for export to about 150 countries including in Europe and South America, according to the local unit of the Detroit-based company.

The tentative accord had included a 92,000 won ($81) increase in monthly base salary for this year, and 8 million won in total as annual bonus per worker, Choi said earlier this week.

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