Ssangyong Submits Self-Rescue Plan
03 June, 2021
Cash-strapped Ssangyong in Wednesday submitted a self-rescue plan come up with by management and labor, including half of its staff taking unpaid leave for two years.
The aim is to avoid layoffs but drastically reduce labor costs. The personnel taking unpaid keep will end up being half of the automaker's manufacturing personnel and 30 percent of office staff. But they could return to do the job in a season if Ssangyong makes any money.
Under the plan, personnel are paid only 50 percent of their wages and no welfare benefits until June 2023. Managers could have another 20 percent of their wages docked along with a 20-percent pay cut they took previous.
"We suffered a good large-scale layoff in '09 2009, so employees agreed to share the discomfort," a good Ssangyong staffer explained. Labor and management also agreed to carry wage negotiations every three years instead of two.
Ssangyong's labor union can vote on the plan on June 7 or 8. It needs the support greater than half of the automaker's personnel, but many personnel are opposed to the furlough and it remains to be uncertain whether the method will be accepted.
Meanwhile, Ssangyong in Wednesday unveiled a dark release of its Korando R-Plus SUV. As yet, only white colored and gray were available.
The automaker hopes to overcome the crisis by rolling out its first electric car in the second half of the year.
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