Hyundai Motor Union Rejects "350% Bonus Plus 10 Million Won" and Launches Partial Strike

Partial Strike Planned for July 13 to 15

The Hyundai Motor labor union (Metals Union Hyundai Motor Branch) will launch a partial strike from July 13 to 15. Although management presented a third wage proposal that included an increase of 89,000 won in the base salary and a performance bonus of 350% plus an additional 10 million won, the union rejected the offer.

According to industry sources, the union announced during its second Central Dispute Countermeasure Committee meeting held on July 8 that it had decided to strike for two hours each day during the specified period. The union also held its 15th round of negotiations with the company prior to the committee meeting on the same day, but as no agreement was reached, it decided to proceed with the strike.

On the afternoon of the 13th, Lee Jongchul, the union branch chief, is speaking at the kickoff rally for this year's wage negotiation battle held on the lawn in front of the main building of Hyundai Motor Company's Ulsan plant. Photo by Yonhap News Agency

During the negotiations, management presented a third proposal that included a monthly base salary increase of 89,000 won, a performance bonus of 350% plus 10 million won, and 15 shares of company stock. However, the union rejected the offer, stating that it fell short of members' expectations.

The union plans to begin the two-hour partial strike on July 13, starting with a divisional report meeting. On July 14, the union will hold electoral district report meetings and continue with the two-hour partial strike. On July 15, the partial strike will coincide with a nationwide general strike resolution rally by the Metals Union. The sales, service, Namyang, and Mobis committees will adjust their total strike hours according to each committee's situation.

While deciding to strike to put pressure on management to make further concessions, the union also plans to continue negotiations with the company. Accordingly, if a new proposal is presented and a tentative agreement is reached, there is a possibility that the strike will be suspended.

This year's negotiations between labor and management remain deadlocked over the scale of wage increases and bonuses. The company maintains that its capacity is limited due to a decline in operating profit last year and sluggish sales performance in the first half of this year. However, the union argues that a real wage increase is necessary, taking into account rising inflation.

Meanwhile, on the same day, the union and management also organized and resolved some of the language in separate demands. Both sides agreed that the issue of a full monthly salary system would continue to be researched and discussed by a joint labor-management task force team (TFT), with negotiations to take place during the 2027 collective bargaining. The issue of reducing working hours will also be continuously studied and discussed by the joint TFT.

This content was produced with the assistance of AI translation services.