Hyundai and Kia are having a great 2011 so far, with sales numbers reaching new heights seemingly every month. The summer sun might disappear, however, as storm clouds appear to be looming on the South Korean horizon. According to Reuters, Hyundai's home market management is working with the worker's union to negotiate a new wage deal. Talks are reportedly not going very well, and the union has walked away from the table ahead of a final round of discussion before everyone breaks for a holiday. Upon their return from vacation, the union officials have stated that they are ready to move to a strike if Hyundai doesn't compromise on the wage talks.

It's a similar story at sister brand Kia, as union leaders have vetoed a new wage deal. Many are reportedly surprised at this move, since the deal included record bonuses, a 5.17 percent salary raise and stock. The issue, however, doesn't seem to be focused on the financial figures but rather over a proposed two-shift system.

For the past two years, Hyundai and Kia have successfully negotiated labor meetings so as to avoid strikes. There is still time left to keep that streak alive, but it appears that serious compromise will be required on both sides of the table.


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  • 30 Comments
      dontneedpants
      • 3 Years Ago
      Strikes in Korea are just another bargaining tool. Happens almost every year, or at least comes close.
      Joseph
      • 3 Years Ago
      Fire them all and replace them with people who are grateful for a steady, well paying job with benefits.
        • 3 Years Ago
        @Joseph
        [blocked]
          natron3030
          • 3 Years Ago
          I hear the medical coverage is a rub'n'tug once a month.
      Paul
      • 3 Years Ago
      why do unions still exist? We're not in the 1800s anymore
      • 3 Years Ago
      [blocked]
        • 3 Years Ago
        [blocked]
        Zoom
        • 3 Years Ago
        damn, i downrated when I meant to uprate. stupid locks.
          Krishan Mistry
          • 3 Years Ago
          @Zoom
          Downranking is good. vwfailsagain made a terrible point. "Why are we ao focused on the rights of the underpaid people who do all the work when we ignore the millionaires on the top whose weekly wages are as high as some workers' annual salary?"
      Drew Smith
      • 3 Years Ago
      This is the great part about Hyundai building their plant in Alabama. Fire them and hire new workers. Right to work!
      • 3 Years Ago
      [blocked]
      delsolo1
      • 3 Years Ago
      It appears the Korean workers are trying to start a middle class like America use to have before union busting became a sport.
        emperor koku
        • 3 Years Ago
        @delsolo1
        If this was a UAW article with the same storyline, you'd be -7 right now. Ridiculous, this blog.
      • 3 Years Ago
      [blocked]
      William
      • 3 Years Ago
      Why don't the union members simply play the increase of the company stock price? All pay, salaried and hourly, at all levels, should be based on profits, sales, and stock price. The company doesn't do well? Everyone from top to bottom takes the hit. This way the company is more likely to stay in the black and workers are motivated to do a good job - and keep their job.
        guyverfanboy
        • 3 Years Ago
        @William
        I would agree with this. It makes sense for everyone from top to bottom.
        postpast
        • 3 Years Ago
        @William
        That makes way to much sence, would never work
      natron3030
      • 3 Years Ago
      Wait Kia and Hyundai have unions? Well how are they making good cars and growing so fast? I thought the unions were the cause of all our problems?
        Joseph
        • 3 Years Ago
        @natron3030
        i don't believe they are unionized in the U.S. (correct me if I am wrong). And if they are, they are building good cars DESPITE the unions. We are buying a Sportage this fall.
      desoto4jsb
      • 3 Years Ago
      Sounds like the UAW all over again...
      postpast
      • 3 Years Ago
      How dare the union wanting better wages for emplyees of a company making record profits!
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