Hyundai Motor union stages first full strike in 10 years

By the Editorial Team · Saturday, August 22, 2026

The Korea Metal Workers Union at Hyundai Motor initiated its first full-scale strike in ten years on August 21, demanding a higher retirement age, increased bonuses, and stronger job protections amid growing automation and AI integration. This labor action has disrupted production significantly and highlights the tension between workers' job security concerns and Hyundai's push toward advanced robotics, with negotiations stalled and future strikes possible.

Hyundai Motor’s South Korean union launched its first full-scale strike in a decade on August 21, as wage negotiations stalled amid demands for a higher retirement age and stronger job protections in the face of increasing automation and artificial intelligence (AI).

The strike involved approximately 40,000 members of the Korea Metal Workers Union, which represents workers at Hyundai Motor, its affiliate Kia Corporation, and their suppliers. The union held a rally outside Hyundai Motor’s headquarters in Seoul, where around 1,200 to 1,300 union members gathered. Additional union affiliates joined the demonstration, bringing total attendance to roughly 3,000.

Union leader Lee Jong-cheol criticized the company’s employment policies, stating that longtime contributors to Hyundai and Kia’s global success were being forced into precarious contract positions. The union’s demands include raising the mandatory retirement age from 60, aligning with President Lee Jae Myung’s agenda to gradually increase the retirement limit in South Korea, one of the world’s fastest-aging countries. Workers are also seeking an increase in bonuses from 750 percent to 800 percent of the monthly base salary. Crucially, the union is calling for job security measures as Hyundai accelerates the adoption of AI and automation technologies.

Hyundai Motor announced plans to deploy humanoid robots at its Georgia factory in the United States starting in 2028, aiming to expand robotic assistance across its production facilities. The union expressed concern that AI developments threaten not only manufacturing roles but also research and engineering jobs within the company. “Even if AI is introduced, we are prepared to fight it—and prepared to win. We are concerned about the future generation,” said Kim Byung-chul, a Hyundai worker and vice-president of the Korea Metal Workers Union.

The strike follows several partial work stoppages since late July, which have disrupted production of an estimated 55,200 vehicles valued at over 2.3 trillion won (approximately S$2.1 billion), according to industry estimates. This labor unrest has compounded challenges for Hyundai, which in July forecast missing its global sales targets for 2026 amid intensifying competition from Chinese automakers in Europe and declining domestic sales.

Union spokesperson Kim Jin-wook indicated that negotiations remain stalled over issues including the retirement age and bonus adjustments. While the union remains open to resuming wage talks, it warned that strike actions may continue without “forward-looking proposals” from management.

Hyundai Motor emphasized its commitment to dialogue, noting that strike actions affect customers, partners, operations, and management. The company said it aims to collaboratively navigate the transition toward future mobility amid the unfolding global shifts in the automotive industry.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.