Labor Union Gains Legal Right to Strike Following NLRC Ruling
- The Hyundai Motor Union approved a strike plan on June 24, 2026, demanding performance bonuses equal to 30% of the company's net profit.
- The union is seeking a performance bonus tied to 30% of the company's net profit, according to Seoul Economic TV.
- The legality of the industrial action depends on the National Labor Relations Commission.
The Hyundai Motor Union approved a strike plan on June 24, 2026, demanding performance bonuses equal to 30% of the company’s net profit. According to Seoul Economic TV, the union will gain legal strike authority if the National Labor Relations Commission stops mediation on June 25, 2026.
What are the union’s primary demands?
The union is seeking a performance bonus tied to 30% of the company’s net profit, according to Seoul Economic TV. This demand centers on the distribution of corporate earnings to workers as a reflection of the company’s financial success.
How will the strike become legal?
The legality of the industrial action depends on the National Labor Relations Commission. If the commission decides to stop mediation on June 25, 2026, the union secures the legal right to strike, Seoul Economic TV reports.
Under South Korean labor law, a strike is generally only considered legal after a formal mediation process through the National Labor Relations Commission fails. A decision to stop mediation signifies that the parties have reached an impasse, granting the union the authority to proceed with industrial action without facing legal penalties for business disruption.
What actions will the union take?
Following the legal authorization, the union plans to establish a Central Dispute Countermeasures Committee to coordinate its strategy, according to Seoul Economic TV. This committee will manage the execution of specific labor actions designed to pressure management.
The union’s planned actions include:
- Partial strikes targeting specific production lines or shifts.
- Refusal of overtime work.
- Refusal of special holiday work.
By utilizing partial strikes and cutting overtime, the union can disrupt production schedules and increase costs for the company while minimizing the total loss of wages for its members. This differs from a general strike, where all workers walk out entirely, which often leads to greater immediate financial strain on the workforce.
The decision to form a Central Dispute Countermeasures Committee indicates a structured approach to the dispute. This body typically determines the timing and location of partial strikes to maximize operational impact on the assembly lines while maintaining union cohesion.
