Hyundai Mobis, Hyundai Steel workers demand higher bonus

Unionized workers of Hyundai Mobis workers stage a two-hour protest in the lobby of the company headquarters in Seoul, Wednesday. Yonhap

By Lee Kyung-min

Unionized workers at Hyundai Mobis, the car parts manufacturing affiliate of Hyundai Motor Group, are demanding higher bonuses, saying theirs are lower compared to their counterparts at Hyundai Motor and its sister firm Kia, according to market watchers, Wednesday.

Workers at Hyundai Steel, the steel manufacturing affiliate of Hyundai Motor Group, are also demanding bonuses, after having been denied any this year.

Whether they will repeat previously organized protests over similar demands remains to be seen. Hyundai Steel workers occupied the firm CEO's office and manufacturing plants for 146 days last year. Hyundai Mobis workers staged a rally at the firm's headquarters last year, saying they should be given the same amount of bonuses as Hyundai Motor and Kia workers. About 100 Hyundai Mobis workers staged a two-hour protest in the lobby of the firm's headquarters in southern Seoul, Wednesday.

The demands followed Hyundai Motor Group's decision to give differing bonuses to employees of its affiliates, after registering a record-high performance last year. Its sales came to 142 trillion won ($108 billion) and operating profit to 9.8 trillion won. Kia logged 86.5 trillion won in sales and 7.2 trillion won in operating profit in the same period.

Hyundai Mobis workers take issue with Hyundai Motor Group's decision to give them 3 million won in bonuses, 1 million lower than the 4 million won given to Hyundai Motor and Kia workers.

The difference of 1 million won is discrimination, they say, a claim largely dismissed by most market watchers.

“Hyundai Motor and Kia workers received the amount because the two firms registered record-high profits last year,” an industry official said. “Their claim is backed solely by them being an affiliate of Hyundai Motor Group, which only weakens their standing.”

Hyundai Steel workers were denied any bonuses, because of its poor performance in the second half of last year.

Its operating profit came to 1.6 trillion won, down 33.9 percent from the year before. The fourth quarter of last year registered an operating loss of 275.9 billion won.

The Hyundai Steel union workers said the discrimination against workers that are not with Hyundai Motor or Kia should stop.

“We will ask for management-labor talks as soon as possible, after reviewing the purpose and the scope of special bonuses,” the workers said.

However, their demands are not likely to be met, because Hyundai Steel paid them extra, amounting to three times their base pay, in addition to 13 million won early this year.