Seoul — Hyundai Motor and its labor union reached a tentative wage agreement Tuesday after a series of strikes disrupted production at the South Korean automaker.
The agreement was reached during the 17th round of negotiations and includes a 100,000 won, or about $72, increase in monthly base pay, a performance bonus exceeding 400% of monthly salary and an additional payment of 12.5 million won, Hyundai said.
The two sides also agreed to extend the retirement age from 60 to 65 if related laws and regulations are revised.
Union members are scheduled to vote on the agreement Aug. 31. Approval would conclude this year’s wage negotiations at South Korea’s largest automaker.
The union staged a combined 60 hours of strikes this year, resulting in about 120 hours of production disruptions across two shifts. The labor action included a full-day strike Friday, the union’s first such walkout in a decade.
Industry estimates put cumulative production losses at about 55,200 vehicles, with lost sales exceeding 2.3 trillion won.
Hyundai said management and union representatives also agreed that advanced technologies, including physical artificial intelligence and robotics, will be critical to the company’s long-term competitiveness.
“The two sides agreed to transparently share information on new projects and their implementation processes, and jointly respond to future changes in the industry,” the company said.
The agreement comes as Hyundai expands its use of robotics in manufacturing. The automaker, which owns Boston Dynamics, plans to deploy humanoid robots at its Georgia manufacturing plant beginning in 2028 before gradually expanding their use to other production facilities. (Source: IANS)
