SEOUL (Reuters) - Unionized workers at South Korea's second-largest automaker, Kia Motors Corp, said on Monday they plan to expand strike action to press for higher wages.þþEncouraged by record profits for their employers, workers at a range of Korean carmakers have sought big pay increases.þþWorkers at the largest carmaker, Hyundai Motor Co won a raise after strikes in May and Kia workers are currently striking a few hours a week in pursuit of a 12.5 percent pay claim.þþThe strikes have stopped production of thousands of vehicles but analysts said they did not expect the action to have a lasting effect on Kia, as this is the customary period for annual wage talks and associated industrial disruption.þþ``Normally, Korean automakers hold wage talks between June and July and it's a one-time event,'' said Suh Sung-moon, an auto analyst at ING Barings. ``So far, I'm not worried about their production cutback.''þþThe strikes started in late May but public pressure saw industrial action ease during of the May 31-June 30 World Cup soccer tournament, which South Korea co-hosted with Japan.þþKia workers started partial strikes on June 24. These have led to delayed production of 6,200 vehicles and 79 billion won ($66.39 million) in lost sales, a Kia spokesman said.þþBooming auto sales have led to record profits at Hyundai and Kia, its affiliate. Hyundai -- 10 percent owned by DaimlerChrysler AG settled last month, ahead of a threatened full strike.þþ``Starting today, we plan to increase partial strikes to eight hours a day from four hours,'' Jung Kil-dong, a spokesman for Kia's 22,000-strong union, said.þþ``But we also plan to hold continuous meetings with management,'' he said, adding that Kia plants operate up to 20 hours a day.þþUnionized Kia workers are seeking a rise in their monthly salary and a 300 percent increase in bonuses, as well as shorter work hours, Jung said.þþThe automaker's vehicle sales fell 11.8 percent in June from the same month a year earlier, as customers stayed out of showrooms as World Cup fever gripped South Korea.þ
Source: NY Times
