GGM Labor-Management Dispute Reaches Tentative Agreement... Gwangju Special City to Form Mutual Growth Task Force

Deputy Mayor Yoon Nansil Welcomes Labor-Management Agreement, Announces Follow-Up Measures
Plans Worker Housing Support and Stable Production Volumes, Among Other Measures

Yoon Nansil, deputy mayor for citizen sovereignty of Jeonnam-Gwangju Integrated Special City, held a press conference at the Gwangju office on the afternoon of October 29, welcoming the tentative labor-management agreement at Gwangju Global Motors (GGM) and announcing follow-up measures to support workers' housing and secure stable production volumes.

“We welcome this agreement, which both sides worked hard to reach, together with the 3.2 million residents of the special city,” Deputy Mayor Yoon said. “I hope those whose health has deteriorated after a prolonged hunger strike recover quickly.” She added, “We must return to our original purpose and revive the spirit of the mutually beneficial jobs initiative, which began with dialogue and agreement. Its foundation is the guarantee of the three labor rights and fulfillment of the social commitments set out in the ‘Labor-Management Mutual Growth Development Agreement.’”

Yoon Nansil, vice mayor for citizen sovereignty of Jeonnam-Gwangju Integrated Special City, announces follow-up measures following a tentative labor-management agreement at Gwangju Global Motors (GGM) at a press conference at the Gwangju office on the afternoon of the 29th. Photo by Song Bohyun

Gwangju Special City will establish a “GGM Mutual Growth and Future Strategy Task Force” and prepare a second Gwangju-style jobs agreement. Deputy Mayor Yoon will lead the task force, which will include the economic affairs department and experts in labor, industry, and management. The labor, housing, finance, and legal affairs departments will also provide working-level support. The task force will pursue three initiatives in consultation with Hyundai Motor, GGM management, and the union.

The first initiative is housing support for workers. The city will pursue short-term measures, including support for moving into LH-purchased rental housing, and will also develop plans to provide public rental housing for workers at the Bitgreen Industrial Complex and secure funding for it.

The city will consult with Hyundai Motor on securing stable production volumes, the contract period, allocation of subsequent vehicle models, and conditions for switching to a two-shift system. It will also explore support for education and training needed for additional hiring, as well as opportunities in emerging mobility industries such as autonomous driving.

The city will also work to improve GGM’s management system. It will develop measures to review management practices to ensure transparent and efficient operations and strengthen communication with major shareholders.

“For GGM to grow into a competitive and sustainable company, production, employment, and workers’ living conditions must all improve together,” Deputy Mayor Yoon said. “The company must build a stable production base with the goal of reaching cumulative production of 350,000 vehicles, then continue to grow sustainably.”

GGM’s labor and management had been in conflict for two years and six months. The union accepted the mediation proposal from the Labor-Management-Government-Civil Society Council on October 21, and management agreed on October 28, bringing the sides to a tentative agreement. The union ended its 18-day hunger strike and tent protest, and plans to hold a membership vote on November 2.

“I urge the union to respond with high productivity on the factory floor, and management to engage in dialogue through open management that respects labor,” Deputy Mayor Yoon said.

This content was produced with the assistance of AI translation services.