SEOUL: Workers at South Korean auto giant Hyundai Motor have voted to approve strike action after wage talks stalled, their union said on Wednesday (June 24), as employees in multiple sectors press for better labour conditions.
Employees at the country's largest carmaker are demanding a bumper performance bonus, an extension of the retirement age and a pay hike as the rise of artificial intelligence fuels concerns over job security.
Talks between workers and management have continued since May without yielding an agreement, according to the Yonhap news agency.
The Hyundai branch of the Korean Metal Workers' Union said Wednesday that over 86 per cent of its nearly 40,000 members had approved strikes to achieve their goals.
The union told AFP it would decide its next steps after a mediation session with the country's labour relations commission on Thursday.
Its members are demanding a performance bonus equivalent to 30 per cent of last year's net profit, and an extension of the retirement age to 65 at most.
They also want a 149,600-won (US$97) increase in base monthly pay.
Hyundai posted a profit decline in the first quarter despite logging record-high revenue.
More broadly, the global AI boom has been favouring South Korean technology giants and pushed the country's stock market to record highs.
It has come as workers push for higher payouts, with Samsung Electronics recently averting a strike by agreeing a deal to distribute bonuses equivalent to 10.5 per cent of operating profit to its semiconductor employees.
Workers in sectors ranging from biotechnology to shipbuilding have also been demanding a larger share of corporate profits through bonuses. - AFP
