As Hyundai is trying to ride out the impact of the coronavirus pandemic, it has struck a deal with its labor union in South Korea to freeze wages.
This is just the third time that Hyundai and its union have agreed to a wage freeze, having first done so during the 1998 Asian foreign exchange crisis and then for a second time during the 2009 financial crisis.
The Korea Herald reports that the two sides reached the wage deal without forcing a strike for the second consecutive year. Under the deal, there will be a freeze on basic pay, a one-off bonus amounting to 150 per cent of an employee’s monthly salary, a 1.2 million won ($1,029) Covid-19 allowance, 10 company shares, and 200,000 won ($172) in gift certificates.
Union members are set to vote on the agreement on September 25.
Read Also: The 2021MY Hyundai Venue Drops Manual Gearbox Over Lack Of Demand
Hyundai recently announced that its global retail sales fell by 33 per cent in the second quarter as a result of the pandemic.
Despite the ongoing impacts of Covid-19, though, it is moving ahead with the launches of various new models. Most notably, it unveiled the latest-generation Tucson last week and with a radical new exterior and interior design, it has the potential to be even more popular than the third-gen model.
In the United States, the new Tucson will be available with a 2.5-liter four-cylinder petrol engine producing 187 hp and 182 lb-ft (247 Nm) of torque and mated to an eight-speed automatic transmission. It will also be offered with a 1.6-liter turbocharged four-cylinder in hybrid and plug-in hybrid guises.
