Kia Management and Union Conclude Wage Talks... No Strikes for Five Consecutive Years

Tentative Wage Agreement Approved by 73.1% of Union Members

Kia's management and labor union have concluded this year's wage negotiations without a strike, continuing their record of 'no strikes for five consecutive years.'

On September 30, the Kia labor union announced that the '2025 wage negotiation tentative agreement' had been finalized with a 73.1% approval rate in a union member vote. Out of 25,812 union members, 21,356 participated in the vote, with 15,601 voting in favor. The number of votes against was 5,710 (26.7%).

The agreement, reached on September 25, includes the recruitment of 500 new engineers (production workers) by next year and the transformation of domestic Autoland (factories) into core bases leading the future automotive industry to strengthen sustainable competitiveness.

Regarding wages and incentives, the parties agreed to the following: ▲ a 100,000 won increase in base salary (including step increases), ▲ a management performance bonus of 350% plus 7 million won, ▲ a production and sales target achievement incentive of 100% plus 3.8 million won, ▲ a 5 million won incentive commemorating selection in the 'World Car Awards' for two consecutive years, ▲ a 53-week incentive for concluding collective bargaining, and ▲ a 200,000 won traditional market gift certificate.

A Kia representative stated, "Despite various challenges, including a 25% U.S. tariff barrier and a slowdown in the pace of electrification due to the electric vehicle chasm, achieving a no-strike settlement for five consecutive years is significant," adding, "Management and labor have made a choice for mutual growth and overcoming crises."

Previously, Hyundai Motor's management and labor union concluded their wage and collective bargaining negotiations on September 17 after a prolonged dispute. This year, Hyundai Motor's management and labor union agreed to a 100,000 won increase in monthly base salary (including step increases), a performance bonus of 450% plus 15.8 million won, 30 shares of company stock, and a 200,000 won traditional market gift certificate. Regarding one of the most contentious issues, the extension of the retirement age, the current contract-based system (rehiring for one year plus an additional year after retirement) will be maintained, and management and labor will continue discussions in preparation for future legal revisions.

In contrast, Hyundai Mobis, a parts supplier, is still facing difficulties in its wage and collective bargaining negotiations. Management and labor have yet to reach a tentative agreement, and the union plans to begin a partial strike from today until October 2, ahead of the Chuseok holiday. Labor-management negotiations at Motras and Unitus, Hyundai Mobis' production-specialized subsidiaries, also remain at a standstill, causing disruptions in production at Hyundai Motor and Kia.