Hyundai Heavy Industries Labor and Management Reach 2nd Tentative Agreement... Strike Suspended After 14 Days

The Hyundai Heavy Industries labor union is on strike at the Ulsan headquarters on the 27th due to difficulties in wage negotiations. Photo by Hyundai Heavy Industries labor union [Image source=Yonhap News]

[Asia Economy Reporter Jeong Dong-hoon] Hyundai Heavy Industries labor and management have reached a tentative agreement on wage negotiations, focusing on additional basic salary increases and adjustments to wage gaps by years of service.

On the 11th, Hyundai Heavy Industries labor and management held the main negotiation session at the Ulsan headquarters the previous day and prepared the second tentative agreement.

The second tentative agreement aims to raise the basic salary by an additional 5,000 won compared to the first agreement, research providing higher job environment allowances for workers performing high-intensity tasks, and apply the results starting next month. The union plans to hold a vote among its members on the tentative agreement on the 12th.

In March, labor and management created the first tentative agreement, which included a basic salary increase of 73,000 won (including 23,000 won for seniority), a performance bonus of 148%, a consolation payment of 2.5 million won, and welfare points of 300,000 won, but it was rejected in the members' vote.

Afterward, the union demanded additional wage increases and renegotiations and went on strike starting from the 27th of last month. Some production lines experienced operational disruptions.

The union suspended the strike, which was initially planned to continue until the 13th. Labor and management have been negotiating beyond the year-end, failing to conclude last year's wage negotiations within the year.

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