Hyundai Motor's South Korean union said on Tuesday it has reached a tentative agreement with management, averting further production losses after staging its first full strike in a decade on Friday, following a series of partial stoppages.
The union had demanded higher bonuses, an increase in the retirement age, and job protections against artificial intelligence and automation.
The tentative agreement includes a base salary increase of 100,000 won ($72.31) per month plus a performance bonus equivalent to 400 percent of base pay and additional payouts in cash and bonuses.
The retirement age will be extended from the current 60 upon amendment of a relevant law, without reducing salary for the first few years after 60, the union said.
From next year until 2028, 500 new technical workers will be hired.
Hyundai Motor did not immediately respond to a Reuters request for comment outside regular business hours.
The union had demanded the company set aside 30 percent of net income for bonuses and guarantee job security, raising concerns over the growing adoption of robotics and artificial intelligence on assembly lines.
Regarding union demands on job security related to AI, the two sides agreed to discuss matters related to employment when it comes to rolling out new businesses, according to the agreement seen by Reuters.
Hyundai, which owns humanoid robot maker Boston Dynamics, has said it plans to deploy humanoid robots at its US plant in Georgia from 2028, with the aim of expanding their use across its production sites. (Reuters)