GM's production in Thailand suspended amid strike

GM's production in Thailand suspended amid strike
October 7, 2009

BANGKOK (AP) — General Motors Co.'s plant in Thailand has halted production after hundreds of workers went on strike to demand higher pay and better conditions, an official said Wednesday.

It marked the third day the assembly line's operations were suspended since several hundred of its 1,700 workers began striking Monday.

The workers are pressing for higher pay in the form of incentive payments and more freedom for the union to organize, but have failed to reach an agreement with management.

"The negotiation this morning still yields no settlement. There will be another round of negotiation tomorrow ... the union will continue to go on strike," said GM spokeswoman Sasinan Allmand.

Workers Union of General Motors secretary-general Suriya Phochailert said the strike came after 11 months of failed negotiations with GM for better benefits.

"GM says it cannot meet the union's demand for better terms of employment because of the economic crisis but from the company's financial report, its operation in Thailand is still profitable," Suriya said.

The factory in the eastern seaboard province of Rayong makes one-ton pickup trucks and passenger cars. Before the strike its weekly production was about 1,200 vehicles.

GM in June forecast production from the plant to slump 62 percent this year to 40,000 vehicles from 104,000 in 2008 because of the world economic downturn.

The automaker laid off nearly 800 workers at the plant in February. "But after the layoffs, GM increased the production rate again and workers now have larger workloads," said Suriya.

newsday.com

Will be interesting to see how this plays out. Wonder how GMs compensation stacks up against Japanese car makers.

I was involved in some of the initial hiring of GM employees and most would have preferred to have the opportunity to work for a Japanese manufacturer. Never could determine a clear reason why but it seemed more about "prestige" rather than compensation.

if they arent happy with the pay and conditions, then let them hand in their notice and move on and find better jobs.

Sounds like "turkeys voting for Christmas"

As GM is bust, good luck with demands for higher pay from them!

60% less vehicle to be produced this year there !

Would love to see some efficiency report about this workers in this plant compared with other countries...

The BOI should really analyze the situation with the workforce in this country and find out what kind of job could be benefic to both investors and the country. What is going on actually will kick back hard soon, with no more foreign investments and lot more closures ...
Yep, correct time to ask for higher pay!

Many good or very well equiped schools but really few people are up to proper level for the industries...

Takes a real genius to go on strike in the current world economic situation, doesn't it. Brilliant idea.

Recessions are often used by employers to increase the rate of exploitation; recent figures from the States show increasing productivity without any corresponding rise in pay.

Good for them to strike. Employers are using the recession news to lay people off and cut benefits while expecting greater productivity. They should tax the hell out of companies outsourcing jobs like this and make it less attractive to move business out of the country along with the money that goes with the jobs.

Given General Motors entry into Chapter 11 bankruptcy arrangements, you can't think that this is a smart move by workers at an offshore subsidiary.

Any borderline or bolshy factories won't make it into 'New GM" that is IPO'd next year.

Close the plant down.

GM seems cursed by the unions. In the US they seem to have more problems with them as well. What are they doing, or not doing, that causes them so many problems?

Quote:

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Originally Posted by Mid

GM's production in Thailand suspended amid strike

"GM says it cannot meet the union's demand for better terms of employment because of the economic crisis but from the company's financial report, its operation in Thailand is still profitable," Suriya said.

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So their goal is to make GM unprofitable ?

Quote:

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Originally Posted by Norton

I was involved in some of the initial hiring of GM employees and most would have preferred to have the opportunity to work for a Japanese manufacturer.

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Obviously they're already working for the Japanese ...