Hyundai Steel Reaches Tentative Wage Agreement

Hyundai Steel labor and management have reached a tentative agreement on the wage and collective agreement, aiming to normalize business operations despite the challenges of a struggling steel industry. After intensive negotiations that began on May 8, a deal was reached after about 80 days of talks. The key components of the agreement include wage increases and performance compensation.

Workers will receive an 80,000 won raise in base pay, a significant performance bonus of '300%+5,000,000 won' (approximately $3,846), and 300,000 won (about $231) in Onnuri gift certificates. The performance bonus is broken down as a 200% management bonus and a 100% livelihood stabilization support fund. Additionally, the agreement includes 2,500,000 won ($1,923) for encouraging carbon-reduced steel production and a commemorative bonus for establishing a new labor-management culture.

Negotiations began early, three months ahead of previous years, but stalled when the union's demands clashed with the company's cautious approach due to industry downturn. The union filed for mediation and secured the right to strike with over 90% member approval. Production concerns led to a swift return to negotiations, averting a potential strike.

The tentative agreement will now be voted on by union members before finalizing the 2026 wage and collective agreement.