Opel Plans Cuts Off Korean Auto Worker Union
Adam Opel AG’s plan to end shipments of cars made in South Korea appears likely to cripple the militant union whose workers make the vehicles, Reuters reports.
#labor
Adam Opel AG’s plan to end shipments of cars made in South Korea appears likely to cripple the militant union whose workers make the vehicles, Reuters reports.
Four General Motors Co. factories in Korea have been supplying Europe with the Opel Karl minicar and a portion of Opel Mokka small crossover vehicles. But when GM sold Opel to PSA Group in August, the French carmaker said it would stop buying cars from Korea when those models switched to PSA platforms.
Last year GM Korea shipped some 134,100 vehicles to Europe, equal to about 20% of its total output, according to Reuters. Last week Opel CEO Michael Lohscheller declared that by 2020 the brand will be importing almost 200,000 fewer vehicles per year than it does now.
Unless GM Korea replaces that volume, declares one union official, “We have no choice but to die.” Reuters notes that GM has repeatedly said it wants to revive its Korean operations.
RELATED CONTENT
-
Japanese Models Top “Most-American” List
The five most “American” models sold in the U.S. in terms of local content and labor all carry Japanese brands, says Cars.com.
-
Ex-FCA Official Pleads Guilty in Labor Training Fund Scandal
Alphons Iacobelli, a former head of labor relations for Fiat Chrysler Automobiles NV in the U.S., has pleaded guilty of stealing millions of dollars from an employee training fund.
-
GM Unit Stresses Driver Training in Autonomous Cars
General Motors Co.’s Cruise Automation unit says it puts backup drivers and auditors through extensive training before allowing them to participate in real-world autonomous vehicle tests.