Daewoo Shipbuilding & Marine Engineering, a leading global shipbuilder, said on Dec. 21 that it has reached a tentative wage agreement with its union.
Under the deal, the two sides agreed to freeze wages and turned several allowances worth about 1.25 million (US$1,100) into basic wages, said a company official familiar with the issue.
He said 6,000 union members are set to vote on Dec. 22 whether or not to approve the deal.
Korean shipbuilders have been under severe financial strain since the 2008 global economic crisis, which sent new orders tumbling amid a glut of vessels and tougher competition from Chinese rivals.
By Alex Lee and newswires (email@example.com