SEOUL (Reuters) – Hyundai Motor’s unionized workers in South Korea have voted in favor of possible strike action after talks with the company over pay increases and an extension of the retirement age stalled, the carmaker’s union said on Monday.
The union, one of the country’s largest with more than 43,000 members, said almost 90% of its members had approved strike action unless the company accepted the union’s demands.
A strike would be the first such action in six years over wage negotiations at the South Korean automaker and could disrupt domestic production of some popular vehicles, which Hyundai exports to offset sluggish domestic sales.
The union is seeking a minimum monthly basic salary increase of 159,000 won ($114.57) and a performance fee equivalent to 30% of Hyundai’s net profit by 2023. The country is also demanding an increase in the retirement age from 60 to 64.
A Hyundai Motor representative was not immediately available for comment.
($1 = 1,387.8400 won)
(Reporting by Heekyong Yang, Editing by Louise Heavens and David Goodman)
