Hankook Tire & Technology reports increasing its revenue and operating profit in Q2 2023 despite a difficult business environment. Revenues were up 11 per cent year-on-year to KRW 2.2634 trillion (£1.37 billion, US$1.77 million), and operating profit jumped 41.6 per cent to KRW 248.2 billion (£150.41 million, $194.0 million). At 11.0 per cent, operating margin was 2.4 percentage points higher than in Q2 2022.
The strike at Hankook Tire’s plant in Hungary is over. The tyre maker reports reaching an agreement with trade union VDSZ last week. Hankook will provide workers financial incentives to perform shift work as well as offer bonuses for long service and achieving set goals.
Yesterday the Federation of Chemical Workers of Hungary (VDSZ) announced the start of an indefinite strike at the Hankook Tire factory in Rácalmás, Hungary. With this measure, the trade union is placing pressure upon the tyre maker to modify the terms of the wage increase it announced for 2019. What then is Hankook Tire offering plant workers, and why doesn’t the VDSZ like it?
As reported yesterday, wage negotiations between management at Hankook Tire’s factory in Rácalmás, Hungary and the union representing plant workers have reached a stalemate. Today, the Federation of Chemical Workers of Hungary (VDSZ) announced the start of an indefinite strike at the factory.
The trade union representing workers at Hankook Tire’s factory in Hungary warns further strikes will take place unless pay rise demands are met. In a statement, the Federation of Chemical Workers of Hungary (VDSZ) warns that strikes could occur as soon as today.
After more than a month of strike action, unionised workers at Kumho Tire’s three factories in South Korea are preparing to return to work. However this move doesn’t signal an end to the industrial action that is estimated to have already cost the tyre maker around 150 billion won (£82.1 million) – Yonhap News reports that the walkout has only been temporarily suspended pending the election of a new union leader.
Hankook could be the subject of the first strike action in its history after 86.3 per cent of its union members voted for industrial action, newspaper Korea Joongang Daily reports. The vote, with ballots cast by 4,430 out of 4,700 union members between 21 and 23 August, comes after management proposed an annual wage hike of 1 per cent.
Some 3,300 workers at Kumho Tire’s three South Korean factories went on strike yesterday to protest planned changes to the company’s wage structure. The eight-hour strike affected production at the Gwangju, Gokseong and Pyeongtaek plants and is said to have costed the tyre maker an estimated KRW 5.2 billion (£2.8 million) in lost sales.
Production resumed, albeit at a reduced level, at Continental’s Port Elizabeth factory in South Africa last Friday, ten days after strike action halted all production there. Workers belonging to NUMSA, the National Union of Metalworkers of South Africa, went on strike on 15 April over a pay dispute, and the limited production now taking place in Port Elizabeth is being performed by non-union members. In a statement, plant spokeswoman Nomfundo Hlela said the factory was not operating at full capacity.