Business & Markets
Hyundai reaches tentative deal after rare strike
Hyundai Motor and the union representing its workers have reached a tentative agreement on wages and bonuses after a rare full-day strike at South Korea's largest automaker.
The union said the proposal includes a 100,000-won, or $72, increase in basic monthly salary and a bonus equal to four months' salary. Union members will vote on the deal on August 31.
The union also said Hyundai would meet a demand to raise the retirement age once the government passes legislation increasing the nationwide retirement age from 60 to 65. It said Hyundai would not apply a wage peak system, which gradually cuts older workers' salaries in their final years, after the retirement age is extended.
Hyundai confirmed on Tuesday that the two sides had reached a “tentative agreement”. A company spokesman said Hyundai appreciated the efforts of the negotiating teams.
About 40,000 employees out of a roughly 73,000-strong domestic workforce walked off the job on Friday, according to union figures. It was the first full-day strike of its kind at Hyundai in a decade.
The union returned to talks on Monday and postponed shorter strikes planned for this week. It had been seeking a 149,000-won increase in basic monthly salary, higher bonuses and a higher retirement age.
Local news agency Newsis calculated that Hyundai workers have staged 60 hours of strikes this year, causing estimated losses of about $1.6 billion.
Hyundai posted record second-quarter revenue of 49.2 trillion won, while operating profit fell 20.8 percent from a year earlier amid weaker sales.
Update
Hyundai Motor and its workers' union reached a tentative agreement on wages and bonuses.
The union said the proposal includes a 100,000-won monthly basic salary increase and a bonus equal to four months' salary.
The company would raise the retirement age once the government passes legislation increasing the national retirement age from 60 to 65, according to the union.
Union members will vote on the proposals on August 31.
Source note: AFP news report published on 25 August 2026 at 06:14:21 UTC.
Update
The union said wage talks with Hyundai Motor management would restart at 2:00 pm on Monday.
A planned four-hour walkout on Monday was scrapped, but the union said a Tuesday partial strike could still take place depending on the talks.
The union is demanding a 149,000-won increase in basic monthly salary, a 50 percent rise in bonuses and a higher retirement age.
Newsis calculated that Hyundai workers have staged 60 hours of strikes this year, causing estimated losses of about $1.6 billion.
Source note: AFP news report published on 24 August 2026 at 03:07:26 UTC.
Uncertainty notes
The tentative agreement still requires approval by union members.
The retirement-age change depends on future government legislation.
Source
AFP news report published on .