Hyundai Motor's union secures right to stage a walkout

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Hyundai Motor's union secures right to stage a walkout

Published: 24 Jun. 2024, 18:43

LEE JAE-LIM
lee.jaelim@joongang.co.kr

A woman walks by the Hyundai Motor's headquarters in Seocho District, southern Seoul, on Sunday. [NEWS1]

Hyundai Motor’s unionized workers secured the right to stage a walkout on Monday, following failed negotiations over base pay and bonus arrangements.

Out of 43,160 union members, over 89 percent, or 38,829 workers, voted in favor of the strike. More than 96 percent of the union workers, or 41,461 members, cast their votes on Monday.

The union can now strike, as labor and management failed to agree on the conditions even under mediation by the National Labor Relations Commission (NLRC).

If the union proceeds with the strike, it will be the first strike in six years.

The management proposed a 101,000 won ($72.73) increase in base pay, a 350 percent jump for performance bonuses, an additional 14.5 million won, a commemorative bonus pay of 100 percent and 20 Hyundai Motor shares to celebrate surpassing 100 million units in vehicle sales.

However, the union rejected this offer and declared that the negotiations collapsed.

The union demanded a 159,000 won increase in base pay, a performance bonus amounting to 30 percent of the previous year’s net profit, a 900 percent increase in incentive pay, an introduction of a four-hour workday on Fridays and the extension of the retirement age to a maximum of 64 years, which is the age that employees can begin to receive national pension.

BY LEE JAE-LIM [lee.jaelim@joongang.co.kr]