California lawsuit seeks to ban sale, marketing of Hyundai vehicles in the state until “unconscionable” labor practices end

SAVANNAH, Ga. (WTOC) - A lawsuit filed in California court is seeking to ban the sale of Hyundai vehicles in the state until the company’s labor practices are reformed.

Jobs to Move America, a non-profit that advocates for quality jobs and “responsible” public investment, filed the lawsuit in Los Angeles County Superior Court on Thursday. Hyundai Motor America, Hyundai Motor Company, Hyundai Mobis, and Glovis America are all named as defendants, as well as Kia America and Kia Corporation. Hyundai Motor Group Metaplant America (HMGMA), which is an electric vehicle manufacturing plant in Bryan County, is not named in the lawsuit, though Hyundai Motor Company is its parent company.

The lawsuit claims that despite Hyundai marketing itself as “socially responsible” to the California government to secure public contracts, it relies on a supply chain that has engaged in “illegal and unethical” labor practice in Alabama and Georgia. The lawsuit alleges Hyundai suppliers operate “unsafe” workplaces that have led to preventable injuries and deaths.

The lawsuit also claims that even when labor abuses have been exposed, Hyundai has repeatedly attempted to distance itself from “unlawful” labor practices of their suppliers.

The lawsuit alleges the company is in violation of California’s Unfair Competition Law, saying Hyundai’s labor practices also harm competitors.

WTOC reached out to Hyundai Motor Company, who provided the following statement:

These allegations are baseless.

We prioritize the safety and well-being of our workforce above all else and remain fully compliant with all federal and state regulations.

We require our suppliers and business partners to adhere to Hyundai’s strict safety, employment, and legal standards, and take decisive action when violations occur.

For nearly four decades, Hyundai has been a driver of American growth and innovation from its U.S. headquarters in Fountain Valley, California, and we value our long-standing relationship with the state. 

Hyundai is a major economic contributor to the communities in which we operate and is committed to providing good jobs, with competitive wages and benefits.

Hyundai recently announced that we are creating 25,000 new U.S. jobs – on top of our existing 190,000 jobs – as part of a $26 billion investment commitment.

In Alabama, we employee 4,500 people directly and support an additional 18,000 jobs, generating more than $2.4 billion in private disposable income each year.

At our new plant in Georgia, we have committed to employing 8,500 workers by 2031 – creating an estimated 40,000 direct and indirect jobs across the State.

Hyundai Motor Group

You can view a full copy of the lawsuit below: