Ssangyong Motor’s union “will help rehabilitation… restructuring is strongly opposed”

Ssangyong Motor's CEO Byung-Tae Ye (left) and Labor Union Chairman Jung Il-kwon attended the Ssangyong Motor Labor-Management Civil Affairs Conference held at Pyeongtaek City Hall on September 11th.  Source = Ssangyong Motor
Ssangyong Motor’s CEO Byung-Tae Ye (left) and Labor Union Chairman Jung Il-kwon attended the Ssangyong Motor Labor-Management Civil Affairs Conference held at Pyeongtaek City Hall on September 11th. Source = Ssangyong Motor

[이코노믹리뷰=최동훈 기자] Although Ssangyong Motors’ labor union agreed with the company’s rehabilitation process, it said that all workers must be secured with employment.

The Ssangyong Motors union said, “The reason for submitting the request for suspension (ARS system) at the same time as the request for commencement of Ssangyong Motor’s rehabilitation procedure is an institutional choice to end the reality that the sale is not visible.” If layoffs that distort the value of labor-management win-win are carried out on workers, I will never back off.”

The union said, “We regret that the company applied for court management in 11 years following 2009. The internal regulations of India (the location of the Mahindra & Mahindra Group) where the sale procedure for the rehabilitation of Ssangyong is a third party. I agree with the application for withholding the start of rehabilitation while trying to be stranded by the government.”

The union then acknowledged that Ssangyong Motor’s executives have been striving to stabilize management, but held accountability to Mahindra, who declared that it would no longer invest in Ssangyong Motors due to management difficulties.

The union said, “The union has not engaged in any industrial action for the past 11 years in a row to realize its social promise, and on May 4 this year, all the dismissals have been returned to the field. It is the result of maintaining a win-win labor-management culture and developing Ssangyong Motor’s unique labor-management relations by switching to a corporate union.

In January of this year, Mahindra did not let go of the hope of Ssangyong’s revival. At the time, President Pawan Goenka Mahindra visited the Industrial Bank holding Ssangyong Motor’s moneyline and presented the investment plan for the major shareholders and Ssangyong Motor’s own management reform plan. He met with the chairman of the Social Labor Committee and began to actively explore the possibilities.

However, Mahindra’s conclusion was actually narrowed down to’stop loss’. That’s why the union is angry.

President Pawan Goenka Mahindra visited Korea in January of this year.  Source = Newsis
President Pawan Goenka Mahindra, who visited Korea in January this year. Source = Newsis

The union said, “Since last year, we have cut wages and suspended welfare, and this year, we agreed to freeze wages, and the amount of money we have been doing so far reaches 100 billion won.” You can’t be free from responsibility that has hurt your mind. I hope that Mahindra will be in the process of selling Ssangyong Motors with an attitude of termination of settlement.”

The union further warned of the possibility of restructuring with the help of Ssangyong Motor’s recovery.

The biggest concern of the union is that stakeholders, including major shareholders and creditors, restructure their members as part of the rehabilitation process.

The union said, “During the ARS period, the government and creditors will actively participate to make the sale through agreement between the stakeholders in a short time, and we must not force Ssangyong Motor workers to unilaterally sacrifice.” We request that a total of 600,000 people, including their families, be prepared for active countermeasures so that the right to live is not threatened.”

“The union is doing its best to become a union that meets the standards of the public. In 2020, when the rehabilitation of all dismissed workers who ended the pain of 2009 took place, we reflect on and self-sufficiently for taking the rehabilitation procedure again. I will do it.”

Meanwhile, the union that announced its position did not hide its uncomfortable feeling that the Ssangyong Motors branch under the National Metals Union, which is operated as a multiple union, represents Ssangyong Motor workers in this corporate rehabilitation process.

The union is comprised of more members than the Ssangyong Motors branch, reflecting the voices of workers, and it is argued that there is a justification to represent the workers because it is engaged in the recent negotiations on the sale of Ssangyong Motors.

The union said, “According to the order of the union members, we are negotiating the sale and plan to prepare a policy to secure total employment. The direction of the total employment policy is highly likely to be distorted. The Ssangyong Motors union will directly disclose the Ssangyong Motor related matters.”

.Source