According to industry sources on Wednesday, the tentative deal came after a dozen rounds of negotiations that ran until the last minute the previous day, just hours ahead of a scheduled three-day partial strike, with workers planning to stop work for two to four hours each day through Friday.
Under the deal, Kia will raise monthly base pay by 100,000 won (US$72), while workers will receive a performance bonus equivalent to 300 percent of their monthly salary plus 4 million won. They will also receive additional incentives equivalent to 100 percent of their monthly salary plus 4.7 million won.
The automaker also pledged to contribute 4 billion won to a fund aimed at supporting local communities and vulnerable groups as part of its social responsibility efforts.
Unionized workers are set to vote on the deal on Friday. Once approved, it will mark the sixth consecutive year Kia has reached a wage agreement with its union without a strike.
Kia's deal follows a separate tentative wage agreement reached by Hyundai Motor earlier this week after a series of strikes that disrupted production, with its union members scheduled to vote on the agreement next Monday.
AJP Takeaways
• Kia and its union reached a tentative 2026 wage agreement on Aug. 25, 2026, averting a planned three-day partial strike.
• The deal includes a 100,000-won monthly base-pay increase, a performance bonus worth 300 percent of monthly salary plus 4 million won, and additional incentives equivalent to 100 percent of monthly salary plus 4.7 million won.
• If approved by union members on Aug. 28, 2026, the agreement will mark Kia's sixth consecutive year of reaching a wage deal without a strike.
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