Hyundai Robotics Completes First Collective Bargaining Among Hyundai Heavy Industries Group Companies

[Asia Economy Reporter Ki-min Lee] Hyundai Robotics, the comprehensive robotics subsidiary of Hyundai Heavy Industries Group, has completed collective bargaining negotiations ahead of other group companies.

On the 28th, Hyundai Robotics held a joint labor-management ceremony at its headquarters in Daegu to sign the collective bargaining agreements for the past two years and to declare a new start for labor-management harmony.

The event was attended by Seo Yoo-sung, CEO of Hyundai Robotics, Kim Jae-hyung, chairman of the labor union, and other labor and management representatives and employees.

At the event, CEO Seo expressed gratitude to the union members for their efforts toward labor-management harmony and encouraged them by saying, "Let us walk together on the path of leap forward for the future."

Chairman Kim also responded, "I am grateful to the company for making bold decisions during difficult times for the union members," and added, "We will continue to actively cooperate for the company's development."

Dialogue between Hyundai Robotics labor and management, which had been stagnant, gained momentum after the establishment of a new labor union in June. Before the new union was formed, Hyundai Robotics, like Hyundai Electric and Hyundai Construction Equipment, belonged to the Hyundai Heavy Industries branch of the Metal Workers' Union under the principle of '4 companies, 1 union.'

However, due to the '4 companies, 1 union' principle, prolonged negotiations became a yearly routine, accumulating dissatisfaction and fatigue among union members. As a result, union members severed ties with the existing Hyundai Heavy Industries branch and established a new labor union. Currently, Hyundai Robotics operates under a multiple union system with a new union of 130 members and the Hyundai Heavy Industries branch union with 3 members.

The new union, which gained the status of representative union for the members, began negotiations on July 29 and reached a tentative agreement on collective bargaining for two years on the 22nd of this month, about two months later. The tentative agreement was approved with a 95.5% majority at the union members' general meeting held on the 24th, receiving overwhelming support from the members.

Meanwhile, Hyundai Robotics, which was spun off from Hyundai Heavy Industries Holdings in May this year, successfully attracted a 50 billion KRW investment from KT in June. Leveraging its competitiveness as the number one industrial robot company, it is expanding its business into the service robot market. In particular, it is entering smart factory and smart logistics businesses in preparation for the 4th Industrial Revolution, setting a goal to achieve 1 trillion KRW in sales by 2024.