Hyundai Motor(005380) said on the 25th that labor and management had tentatively agreed on a 2026 wage deal centered on a 100,000 won monthly base pay increase and performance bonuses of 400% plus 12.7 million won. On the contentious issue of extending the retirement age, they agreed to implement it without a wage-peak system if the relevant laws are revised.
Hyundai Motor's labor and management reached this tentative agreement after all-night talks that began on the 24th and continued into the day. It came about 111 days after the first bargaining session in May. The wage increase effect through base pay hikes and performance bonuses amounts to about 40.84 million won. Also included are 15 shares of company stock, 500,000 won in welfare points, and a 200,000 won increase in summer vacation pay.
The 800% increase in bonuses, which was a sticking point in this year's talks, will be discussed again in next year's collective bargaining. The company also agreed to withdraw all 10 cases of damages claims and provisional seizures totaling 21.4 billion won that it had filed in connection with illegal acts during union activities.
They also agreed to expand hiring for technical (production) positions: 200 hires in the second half of 2027 and 300 in 2028. Hyundai Motor explained that, although large-scale reassignments of some plant workers are planned due to the restructuring of domestic plants—making new hiring difficult—labor and management decided to proceed to fulfill their social responsibility to create jobs.
The tentative agreement will be finalized if it wins a majority in a vote of all union members on the 31st. A Hyundai Motor official said, "We are sorry for the concern caused by the prolonged bargaining difficulties and strikes," adding, "Since we reached a tentative deal out of an urgent need to prevent further damage, we will do our utmost in second-half production and new model output to repay customers with the world's best-quality mobility."