Hyundai Motor Union Secures Right to Strike... 89.9% of Members Approve

The strike schedule is undecided... Inauguration ceremony of the Central Joint Struggle Committee on the 27th

The Hyundai Motor Labor Union's strike vote held on the 24th due to difficulties in this year's wage negotiations was approved.

The Hyundai Motor Union announced that in the strike vote conducted among all union members (43,160 members) on the same day, 41,461 members (voter turnout 96.06%) participated, and 38,829 members (89.97% of total membership, 93.65% of voters) voted in favor. The Central Labor Relations Commission also decided to suspend mediation on the same day, judging that there was a significant gap between the positions of labor and management in this year's negotiations, granting the union the right to strike.

Hyundai Motor Ulsan Plant Myeongchon Main Gate
[Image source=Yonhap News]

The union plans to hold the Central Dispute Countermeasures Committee (CDCC) to discuss whether to strike and the schedule, with the CDCC inauguration ceremony scheduled for the 27th. If the union actually goes on strike, it will be the first time in six years.

The company had previously proposed at the 8th negotiation session held on the 13th a basic wage increase of 101,000 KRW, a management performance bonus of 350% + 14.5 million KRW, a quality improvement incentive bonus of 100% and 20 shares of stock to commemorate the achievement of 100 million cumulative global sales, but the union rejected the offer and declared the negotiations broken down.

However, both sides are continuing practical negotiations.

The union has demanded from the company a basic wage increase of 159,000 KRW this year (excluding step increases), a performance bonus of 30% of last year's net profit, a 900% increase in bonuses, introduction of a 4-hour workday on Fridays, and extension of the retirement age linked to age-based national pension benefits (up to 64 years old).