South Korea media: SK Hynix and its union reach a tentative deal on a 6.3% wage hike and paying out 60% of profit-sharing bonuses in shares and 40% in cash (Yoolim Lee/Bloomberg)

SK Hynix has reached a tentative wage agreement with South Korean workers, stipulating that 60 percent of this year's bonuses will be paid in the form of company stock rather than cash, according to a source. The AI boom has led to SK Hynix's earnings soaring, which prompted eye-popping bonuses for employees. The average bonus for 2026 is projected to be 779 million won ($710,000).

Kim Yong-jin, a management professor at Sogang University, deemed the arrangement a "win-win solution," as it would avoid draining the company's cash reserves and prevent any backlash over lavish payouts. The agreement, which is contingent upon a union vote, also includes a 6.3 percent increase in base wages and allows the company to defer up to 3 percent of wages if SK Hynix records losses.