Contract negotiations for unionized workers at HD Hyundai Heavy Industries’ shipbuilding division have reached an impasse, prompting the Metal Workers’ Union to initiate a partial strike starting September 2. This marks the fourth consecutive year of strikes amid a history of contentious negotiations between the company and its unions. The planned action will involve segments of the workforce for seven hours, with subsequent rotating partial strikes until September 10, followed by a four-hour strike for all members on September 15.
The union’s demands this year include a monthly base pay increase, a 100% bonus hike, sharing at least 30% of operating profits as performance-based rewards, and enhanced vacation allowances. Union representatives argue that workers, having endured a prolonged downturn in the industry, are entitled to share in the current shipbuilding boom. The last time the company and unions reached an agreement without a strike was in 2022, with mediation efforts underway since the union filed a labor dispute on August 14.
While negotiations are set to increase in frequency to three times a week, the union has not indicated plans to expand the strike beyond Ulsan. Meanwhile, HD Hyundai is under scrutiny regarding safety practices after a worker was reported unconscious at a facility, marking the sixth fatality at its operations this year.
Despite the labor unrest, HD Hyundai reported a robust order book, securing a new contract for four LPG carriers and achieving orders for a total of 162 ships worth over $18 billion in 2026, which constitutes 77.6% of its annual target.
