Renault Samsung to restart XM3 production for export
People work on assembly at the Renault Samsung Motors plant in Busan in this 2019 file photo. Korea Times file
By Kim Jae-heun
Renault Samsung Motors, the Korean unit of Renault S.A., will reopen its sole plant in Busan, after unionized workers returned to the factory following a month-long strike, and resumed a two-shift workday.
The company withdrew its workplace closure Tuesday, a day before the workers returned, as it intends to increase production of XM3 cars, which will be exported ― from various plants ― to 24 additional countries.
Previously, the vehicle was only exported to France, Germany and Spain starting in March, but Renault sold over 9,000 of the cars, surpassing its original target of 7,250.
The unionized workers returned to their jobs after union negotiators failed to find common ground with management after one year. According to the Labor Relations Adjustment Act, if union representatives cannot reach an agreement with the company after more than a year, leaders of other unions can request to negotiate with the firm.
The current union started negotiations with Renault Samsung on April 29 last year, and after a year passed, two others at the carmaker demanded they be allowed to start talks. A new negotiating body will be confirmed between the two by July 9.
There are four representing workers at Renault Samsung.
“Until a new bargaining body is selected, negotiations cannot take place. The current representatives also lost their right to strike so the workers have to return to the assembly line,” an industry source said.
If another union becomes the new negotiating body and tries to resume the strike, it will have to conduct a vote and get over 50 percent in favor.
In February, only 20 percent of the total number of workers voted, of which 57.1 percent cast ballots in support of a strike ― the lowest such rate in union history, which implied that it was failing to represent the workers.
“It looks unlikely that a new negotiating body will win a vote to restart the strike anytime soon,” the source said.