Daewoo workers clash with police

Dozens of Daewoo car factory workers in South Korea have clashed with riot police during a rally to protest against mass lay-offs.

Dozens of Daewoo car factory workers in South Korea have clashed with riot police during a rally to protest against mass lay-offs.

Stones were thrown and fire extinguishers let off as about 300 Daewoo staff and their families tried to break through a police line to enter the firm's main assembly lines in Bupyong, 18 miles west of Seoul.

The state-run Yonhap news agency says one worker was taken to hospital after being hit on the head by a stone, and several union leaders were taken to a police station for questioning.

Police are also reported to be preparing to arrest 30 union leaders for allegedly causing millions of pounds worth of damage to the company by leading illegal strikes.

A civil court in Incheon, west of Seoul, has issued arrest warrants for the union leaders.

Daewoo laid off 1,751 workers on Friday to improve the chances of a rescue deal by US firm General Motors. Hundreds of workers have been staying inside the main plant since then.

The union plans to go on strike at Bupyong and two other Daewoo plants from tomorrow.

The government of President Kim Dae-jung considers lay-offs a necessary step towards revamping South Korea's bloated big businesses and regaining investors' confidence in the economy.

Daewoo has been surviving under court receivership since it filed for bankruptcy in November with estimated debts of nearly £7 billion. In return for emergency loans from creditor banks, Daewoo has so far shed 5,494 of its 16,149 workers.

General Motors began takeover talks with Daewoo in September, but little progress has been made as the US firm was reportedly reluctant to proceed without lay-offs.

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