Kia reaches tentative wage agreement for sixth straight year; union vote set for the 28th

[Financial News] Following Hyundai Motor Company, Kia's labor and management have also reached a tentative agreement in wage and collective bargaining talks, putting the company on track for six straight years without a strike.
Under the agreement, the base salary will rise by 100,000 won, while workers will receive a performance bonus equal to 300% of pay plus 4 million won and a quality-improvement incentive equal to 100% of pay plus 4.7 million won. Kia labor and management also signed an agreement on employment stability through the prevention of serious industrial accidents and the strengthening of future competitiveness.
Kia labor and management held their 12th round of main negotiations on the 25th at Kia AutoLand Gwangmyeong, with company and union representatives including CEO Song Min-soo and branch head Kang Seong-ho in attendance, and reached a tentative agreement for the 2026 wage and collective bargaining talks, marking six consecutive years without a strike.
Key terms of the agreement include a 100,000 won increase in base pay, a 300% performance bonus plus 4 million won, a 100% quality-improvement incentive plus 4.7 million won, a 4 million won incentive for winning the 2026 Autocar Awards, 47 company shares as a bonus for settling the 2026 collective bargaining talks, and 500,000 points as a special reward for achieving the 2026 maximum production and sales target.
Kia said the agreement reflects the principle that rewards should follow performance, even amid internal and external challenges, and that reasonable compensation must be provided.
The tentative agreement will be finalized through a union vote on the 28th.
The two sides also signed an agreement on employment stability through the prevention of serious industrial accidents and the strengthening of future competitiveness. It includes a commitment to build a safety culture to prevent major accidents, jointly respond to future industrial transitions, strengthen competitiveness, and sustain growth momentum so that employees' jobs can remain secure.
As part of its social contribution fund, the company will set aside 4 billion won to support community development and help neighbors in need.
Earlier, Hyundai Motor Company labor and management also held their 16th wage negotiation session from the afternoon of the 24th and reached a tentative agreement on the morning of the same day.
A Kia official said, "Traditional global automakers in Germany and elsewhere are also facing difficulties, but Kia has built a full lineup ranging from internal combustion engine vehicles to hybrids and electric vehicles, and is delivering visible results such as sales growth." The official added, "We will do our utmost to conclude the wage and collective bargaining talks as soon as possible and take another step forward as a global top-tier company."


[email protected] Kim Hak-jae Reporter