[Alpha Biz= Paul Lee] SEOUL, South Korea – June 11, 2025 — Tensions between GM Korea and its labor union are escalating ahead of annual wage and collective bargaining talks, following management’s announcement of service center closures and property sales, and its controversial dismissal of the union’s local chapter head.
On June 9, GM Korea issued a termination notice to Ahn Gyu-baek, head of the Korean Metal Workers' Union GM Korea branch. The move reignited a long-standing dispute that began in 2020 when union officials protested increased assembly line speeds by briefly halting production and confronting executives.
Although Ahn and others were initially disciplined, South Korea’s Central Labor Relations Commission and a lower court ruled in favor of the union, declaring the disciplinary actions invalid. However, an appellate court overturned the decision, and the Supreme Court ruled in favor of GM Korea in February 2025.
Despite the legal victory, the union argues that the dismissal violates a previous agreement recognizing Ahn’s role as a bargaining partner. “The company repeatedly acknowledged Chairman Ahn as a key counterpart in labor negotiations, and continued to pay his wages until recently,” said a union spokesperson. “Suddenly revoking his position undermines trust and breaches existing agreements.”
In response, the union has launched overnight protest sit-ins and plans a strike authorization vote among members. Ahn himself stated, “My position as union chairman is not up for negotiation. Any attempt to use this as a bargaining chip will not be tolerated.”
The conflict comes in the wake of GM Korea’s May 28 announcement that it will shutter all nine directly operated service centers and sell unused facilities and land at its Bupyeong plant. The company cited the move as a proactive cost-cutting measure amid rising global automotive tariffs, particularly from the U.S.
Union officials have condemned the restructuring plan as a one-sided and unjustified downsizing strategy, and are calling for its full withdrawal.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
