Hyundai Motor India Limited (HMIL) has signed a long-term wage settlement agreement with the United Union of Hyundai Employees (UUHE), offering a structured salary hike of ₹31,000 per month over a three-year period.
The agreement, effective from April 1, 2024, to March 31, 2027, applies primarily to the technician and workmen cadre and is being hailed as one of the most competitive compensation packages in the Indian automotive sector.
Hyundai and the union reached the settlement through mutual dialogue, and they expect it to benefit approximately 1,981 employees—representing 90% of the technician/workmen workforce at the manufacturing facility.
Structured Salary Increase: Phased Over Three Years
The ₹31,000 salary hike will be implemented in a phased manner:
- Hyundai will apply 55% of the increase in the first year
- 25% in the second year
- 20% in the third year
This structure ensures a gradual and predictable rise in monthly compensation.
It aligns with Hyundai’s broader strategy to retain skilled workers and foster long-term engagement.
Hyundai stated that the revised package “sets a new benchmark” in the industry, reflecting its commitment to employee welfare and operational excellence.
Employee Welfare Schemes to Continue
In addition to the salary hike, HMIL has confirmed that existing employee welfare schemes will remain in place.
These include:
- Comprehensive health coverage
- Wellness programs
- Other benefits aimed at improving workplace conditions and employee satisfaction
Youngmyung Park, Function Head – People Strategy at HMIL, commented, “Our people are the cornerstone of our success.
He added, “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”.
Role of the United Union of Hyundai Employees
Hyundai officially recognised the United Union of Hyundai Employees (UUHE), which registered in 2011, as the representative body for its workforce.
It played a central role in negotiating the wage settlement and continues to advocate for employee rights and welfare.
As of August 31, 2025, the union represents 1,981 members, underscoring its influence and reach within the organisation.
The union’s leadership has welcomed the agreement, citing it as a model for collaborative industrial relations in the auto sector.
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