Hyundai Heavy workers voice concern about taking over DSME

The labour union of South Korean shipyard Hyundai Heavy Industries (HHI) has demanded the company involve the organisation in the negotiations for the takeover of its compatriot rival Daewoo Shipbuilding & Marine Engineering (DSME) and provide job guarantees to its employees.

Last month, the state-run Korea Development Bank, the largest shareholder of DSME, signed a conditional deal with HHI to sell a 55.7% controlling stake in the yard.

The union said in a newsletter today that labour-management relations could worsen if management goes ahead with the takeover without guaranteeing existing jobs.

The union of HHI reached a temporary agreement with the management of the shipyard in December last year after seven months of negotiations.

“The management should apologise for closed-door negotiations, and promise the union’s participation in the takeover process,” the union said.

The labour union at DSME has also expressed similar worries.

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.
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