Hungarian Hankook Tire Strike Settled

AutoInformed.com on Hungarian Hankook Strike Settled

The full strike began on 12 March demanding further and more evenly-distributed increases to pay and benefits.

The longest strike in the 116-year history of the VDSz was settled on the evening of 21 March at Hankook Tire. IndustriALL Global Union’s Hungarian affiliate VDSz negotiated a range of improvements for members after the walkout by 1,700 workers  cut the plant’s production by 75%. The average financial gain achieved in the settlement is 18.5% per employee.

During the first week of the strike at the Dunaújváros plant, local management refused to talk with the union, strongly harassed and intimidated strikers, and offered 50% wage increases to work during the strike.

Leading up to the full strike, VDSz first presented wage demands in mid-February, but a “lack of any good faith bargaining” led to a 6 March two-hour warning strike that caused the company to increase pay by 13.6%. However, that increase was made without direct discussion with the union. The full strike began on 12 March demanding further and more evenly-distributed increases to pay and benefits.

With the strike still going strong after a week and receiving wide solidarity support from unions in Hungary and abroad, corporate management from Hankook’s home country, South Korea, sat down with VDSz President Tamás and his team, and reached a settlement within 24 hours.

IndustriALL Global Union Assistant General Secretary Kemal Özkan said: “We are so proud of our sisters and brothers at VDSz. We salute the strikers’ commitment and bravery, as well as the skilled organizing and negotiating of President Székely’s team. Under the current anti-union environment in Hungary, VDSz is leading the struggle for workers’ rights. We now expect Hankook to fully recognize VDSz as its bargaining partner at Dunaújváros, and to ensure healthy industrial relations going forward.”

VDSz thanked IndustriALL Global Union and IndustriAll Europe, as well as affiliates from several countries for strong international support sent to the strikers.

The overall gains negotiated for workers combine different improvements that add to an increase on average of 18.5%. The settlement includes a 6% increase in shift allowance for all, improvement to the annual personal bonus, improvement of the seniority loyalty bonus, and fair distribution of wage increases.

VDSz has agreed to drop its pending legal action against Hankook. Production at the plant returned to normal on 22 March.

About Ken Zino

Ken Zino, editor and publisher of AutoInformed, is a versatile auto industry participant with global experience spanning decades in print and broadcast journalism, as well as social media. He has automobile testing, marketing, public relations and communications experience. He is past president of The International Motor Press Assn, the Detroit Press Club, founding member and first President of the Automotive Press Assn. He is a member of APA, IMPA and the Midwest Automotive Press Assn. He also brings an historical perspective while citing their contemporary relevance of the work of legendary auto writers such as Ken Purdy, Jim Dunne or Jerry Flint, or writers such as Red Smith, Mark Twain, Thomas Jefferson – all to bring perspective to a chaotic automotive universe. Above all, decades after he first drove a car, Zino still revels in the sound of the exhaust as the throttle is blipped during a downshift and the driver’s rush that occurs when the entry, apex and exit points of a turn are smoothly and swiftly crossed. It’s the beginning of a perfect lap. AutoInformed has an editorial philosophy that loves transportation machines of all kinds while promoting critical thinking about the future use of cars and trucks. Zino builds AutoInformed from his background in automotive journalism starting at Hearst Publishing in New York City on Motor and MotorTech Magazines and car testing where he reviewed hundreds of vehicles in his decade-long stint as the Detroit Bureau Chief of Road & Track magazine. Zino has also worked in Europe, and Asia – now the largest automotive market in the world with China at its center.
This entry was posted in labor issues, manufacturing, people and tagged , , , , , , , . Bookmark the permalink.

Leave a Reply

Your email address will not be published. Required fields are marked *