Hyundai to hike workers’ salary by up to Rs 31,000/month
According to the company, the long-term wage settlement will be effective from April 1, 2024, through March 31, 2027
CHENNAI: South Korean vehicle major Hyundai Motor India Limited (HMIL) said on Wednesday that it would extend an all-inclusive compensation package to its employees that includes a salary hike of Rs 31,000 per month. The wage settlement agreement that it signed with the recognised union, United Union of Hyundai Employees (UUHE), is for the period 2024–27.
According to the company, the long-term wage settlement will be effective from April 1, 2024, through March 31, 2027. The revised, all-inclusive compensation package sets a new benchmark in the automotive industry, it claimed, adding that it includes an industry-best salary increase of Rs 31,000 per month, structured over a three-year period in the ratio of 55%, 25%, and 20%.
In addition to the salary hike, the company said it is also offering a best-in-class health coverage and an advanced wellness programme.
“This agreement, built on mutual trust, respect, and constructive dialogue, reflects our shared commitment to fostering a progressive workplace culture that prioritises employee welfare and supports long-term organisational growth,” said Youngmyung Park, function head - people strategy, HMIL.
Registered in 2011, UUHE is the officially recognised representative body for the workforce that Hyundai employs in its unit near Chennai. As of August 31, it represents a membership of 1,981 employees (which accounts for about 90 per cent of workers in the technician/workmen cadre).
The move stands in stark contrast with the recent cases where companies, including global majors in their respective fields, engaging in protracted negotiations with unions over salary hikes, perks, and other benefits, some of them basic. In some instances, the talks stalled and even failed, forcing the State government to step in to mediate between trade unions and management.
