Union Talks To Begin at Hyundai Motor Compnay in Korea

Union officials at Hyundai Motor Co. in South Korea said they would seek an 8.5 percent pay increase this year.

The figure was decided during a two-day meeting with representatives of Hyundai's 42,000-strong union workers. It will translate to an average $108.9 increase in monthly salary, the union said.

In Korea, summer is the traditional labor talks period at many Korean companies.

The union said it plans to deliver its demands to management this week and begin negotiating at the end of the month. That sets the stage for strikes by summer if demands are not met.

As the largest auto union, the Hyundai workers typically set the pace in auto industry labor demands.

Hyundai workers have routinely gone on strike in past years and salaries of assembly line workers are now approaching or exceed the pay for the average office worker.

Last year, during the first stage of labor-management negotiations, the Hyundai union demanded a 10.48 percent pay rise and a significant increase in temporary workers' salary to match 80 percent of the earnings of a regular worker.

Korean wages have grown considerably over the years; in fact, union wages in Korea have prompted the car manufacturer to export jobs to China, India, Turkey, and even the American South.