Hyundai Steel Strike Clouds Steel Availability in Korea Further

Joonang Daily reported that supply disruptions loom in South Korea’s steel industry as the country’s two largest steelmakers POSCO & Hyundai Steel, accounting for 80% crude steel production, are struggling to fully operate their plants. While POSCO is still in the process of restoring its Pohang plant that was flooded by Typhoon Hinnamnor earlier this month, labor unions at Hyundai Steel have been going on a series of strikes after failing to negotiate with management. Hyundai Steel’s four labor unions went on strike for eight hours on 24 & 25 September. They said they will continuously stage strikes unexpectedly until the company accepts their demands. Hyundai Steel unions are demanding a base monthly pay raise of KWR 165,200 and 15% of last year’s operating profit as incentives. It also requested KWR 4 million of bonuses, arguing that employees of Hyundai Motor, Kia and Hyundai Mobis received that amount. It already voted on the strike and 94% of workers agreed to a walkout. It won permission from the National Labor Relations Commission to go ahead with its plan. As a result of disruptions at POSCP’s Phang plant, steel prices have surged by 8-10% and are expected to rise even more rapidly in coming weeks as Hyundai Steel employees are planning more strikes.

Hyundai Steel Strike Clouds Steel Availability in Korea Further

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