Hyundai Motor Starts Vote on Labor Agreement... Will It Achieve 3 Consecutive Years of Dispute-Free Negotiations?

Hyundai Motor Company Labor and Management
Photo by Yonhap News

[Asia Economy Reporter Changhwan Lee] The Hyundai Motor labor union began a vote among its members on the tentative agreement for wages and collective bargaining on the 27th.

According to the automotive industry, the Hyundai Motor union started the approval vote on the tentative wage and collective bargaining agreement from 6 a.m. at Ulsan, Jeonju, Asan plants, and Namyang Research Center, targeting approximately 48,000 union members.

Counting is expected to begin after 10 p.m. on the same day when the ballot boxes from across the country arrive at the union office in the Ulsan plant. The results are anticipated to be announced in the early hours of the 28th.

The tentative agreement includes a monthly base salary increase of 75,000 KRW (including step increments), a performance bonus of 200% plus 3.5 million KRW, a quality improvement and accident prevention incentive of 2.3 million KRW, 5 shares of special agreement stock for securing future competitiveness, 200,000 points for the two-shift continuous weekday system, and 100,000 KRW in traditional market gift certificates to revitalize the local economy affected by the prolonged COVID-19 situation.

If a majority of voting union members approve the agreement, Hyundai Motor management and labor will achieve a three-year streak of dispute-free settlements. The union did not strike for two consecutive years due to the 2019 Korea-Japan trade dispute and last year's COVID-19 impact.