GM strikers go back to work

AUTOMOBILES

US-based General Motors hopes to put its Thailand operations back on track after its Rayong plant resumed normal production yesterday after strikes forced a 10-day closure.

Uncertainties that have troubled General Motors (Thailand) for several days were resolved after management and union representatives reached a settlement and restored normal operations, said Steve Carlisle, president of GM Thailand and Asean operations.

The Rayong plant has maintained its production target at 50,000 vehicles this year, one-third of its maximum capacity, despite 10 days' lost production.

The "peaceful and orderly" end of the strike includes a mutually beneficial agreement with a shared objective of ensuring the continued growth and sustainability of GM and the Chevrolet brand in Thailand, he said.

Several hundred unionised employees from the Rayong plant's 1,700-strong workforce returned to work after theirs strike forced the factory to suspend production from Oct 5.

Conditions agreed with the union include that GM will increase bonuses for workers from 4,000 baht to 7,500 baht, to be paid in two installments in the next two months.

"This experience makes us realise that we need to work more closely with the union in a very highly competitive market environment," said Mr Carlisle.

"This is the embarking of the new GM in Thailand. We have much to do to achieve our challenging target with a common goal."

Union leader Voravudh Potisoonthorn said the management and workers had agreed to roll out 160 pickup trucks every day along with 72 passenger cars to achieve production targets.

Financial benefits agreed with the management are for GM's performance in 2008 while the bonus for this year will depend on future negotiations, he said.

Mr Carlisle said the agreement gave employees an opportunity to benefit directly from the company's success.