Hyundai's Genesis production halted amid dispute over new models

Hyundai Motor's Genesis production line at its Ulsan plant was shut down Monday after union representatives blocked the introduction of test vehicles for upcoming models amid a dispute over staffing levels.

The disruption began at around 9 a.m. at Plant 5, where union representatives prevented the company from putting a test vehicle for the Genesis G80 hybrid sedan onto the assembly line, according to industry sources.

Production remained suspended despite efforts by management to persuade workers to resume operations.

At 10:05 a.m., Hyundai notified workers that it would apply a "no work, no pay" policy to the entire Genesis assembly unit, which reportedly employs about 800 union members.

The dispute centers on negotiations over staffing requirements for production of the G80 hybrid and a facelifted version of the flagship G90 sedan.

Hyundai has sought an agreement with the union on the labor hours and workforce needed to build the new models, but union representatives have refused to proceed with the negotiations, according to the company.

The representatives are reportedly concerned that changes to the production process could reduce staffing requirements once the new vehicles enter mass production.

Union representatives were scheduled to meet Monday evening to discuss their response and whether to allow production to resume.

Depending on the outcome, the disruption could extend into Tuesday.