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Honda's China parts plant resumes full operations

Honda's China parts plant resumes full operations
0 CommentsPrint E-mail CCTV, June 3, 2010
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Japanese automaker Honda, says production at its parts-manufacturing plant in southern China has resumed after it agreed to raise workers' salaries by 24 percent. Operations at the plant had been suspended for a week due to a strike for higher pay.


Honda said on Wednesday that the parts plant in the city of Foshan, Guangdong Province has resumed full production and is now at normal capacity.

The company says all the workers due for morning shift at the factory showed up at their posts on Wednesday, although it says some of the staff are still dissatisfied with the pay rise.

Honda says it has offered to increase the basic monthly salary for the 1,900 workers by more than 300 yuan to nearly 2,000 yuan. It's still far less than the workers' demand for an 800 yuan rise. The company stresses that it's the final offer and there'll be no more negotiations.

The strike has suspended production at Honda's four auto assembly firms in China over the past week since transmission parts were in short supply. Honda says these firms' will remain closed Thursday, and no resumption plan has yet been decided.

The strike for higher wages initially began on May 17th. After resuming work temporarily, workers went back on strike on May 21st.

The employees also asked for improved working conditions, for the factory's operations and finances to be more transparent, as well as for a reshuffle of the company's trade union representatives.

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