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Monday, April 20, 1998

Kia Motors talks fail to end strike 

Yeom Yoon-Jeong  
Seoul, April 19: Union leaders and a new management team of South Korea's financially troubled Kia Motors Corp failed to end a three-day strike in talks late on Saturday, company and union officials said on Sunday.

"The new management team asked the union to return to work on Monday. But the talks didn't work very well," said a company spokesman said.

Union spokesman Kim Dong-soo said the meeting was held late on Saturday at the request of court-appointed administrator Yoo Chong-yul shortly after Yoo appointed a new president for Kia Motors.

Yoo named Song Byung-nam, president of unlisted Kia Information Systems Co, as president of the troubled carmaker.

"They met for only 30 minutes. It's not enough at all to resolve a nine-month-long problem in the company," Kim said.

"We haven't yet decided what to do. Union leaders plan to meet late on Sunday to decide on our strategy for the coming week," he said.

Kia's workforce of nearly 14,000 is striking to protest against a possible takeover of thecarmaker. Kia was put into receivership last Wednesday along with sister firm Asia Motors Corp.

Production has been halted on all assembly lines since Thursday. The company spokesman said the strike has cost Kia Motors 30 billion won ($217 million) a day in production losses.

On Saturday, supporters of Kia Motors' Union briefly scuffled with riot police during a rally organised by the militant Korean Confederation of Trade Unions.

Witness said about 2,000 workers, students and foreign labourers had gathered for the rally in downtown Seoul in protest against huge job losses.

They protested against reforms mandated by the International Monetary Fund as a condition of a record-breaking economic bailout package worth nearly $60 billion. The IMF has demanded painful restructuring which has resulted in massive unemployment. "Achieve job security! Uproot unfair labour practices!" protesters shouted. Some foreign labourers also participated in the rally, demanding fair treatment.

"We are also labourers,"they chanted. "Pay back overdue wages." A Kia Motors union member, who asked not to be named, said: ``We do want to work. But it's a life-and-death fight for us."

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.



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