Kia is currently in a class action lawsuit over the workers’ status as contract workers. As the legal dispute is expected to be lengthy and cases differ for each individual, Kia aimed to settle the matter earlier by directly employing them. (image: Kia Motors)
SEOUL, May 14 (Korea Bizwire) — Kia Motors, the second largest auto maker in Korea, plans to directly hire 465 dispatched workers on its assembly lines by 2016.
After a special negotiation between Kia, in-house partner companies and the Kia trade union on May 12, Kia Motors announced that it will directly employ 200 workers on the manufacturing line within this year, as well as 265 additional workers by the end of 2016.
Kia is currently in a class action lawsuit over the workers’ status as contract workers. As the legal dispute is expected to be lengthy and cases differ for each individual, Kia aimed to settle the matter earlier by directly employing them. Last September, a Seoul district court took the side of the workers on the issue.
By directly employing them, Kia Motors said that with the agreement it can employ more skilled and experienced workers. Directly employed contract workers will drop their suit, according to the agreement.
An official at Kia Motors said, “The company and its trade union will cooperate to improve the treatment of contract workers even after the full direct employment of the workers. By giving hope to be directly employed by Kia, we reached a win-win agreement.”
By John Choi (johnchoi@koreabizwire.com)
