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SK hynix Concludes Wage Talks, Uncaps Bonuses and Sets 10% Profit Share

A 95.4% union vote cleared a 10-year formula tying bonuses to operating profit, with part deferred to smooth pay.

Overview

  • Employees will receive a 6 percent base-salary increase under the agreement.
  • Bonuses will be paid 80 percent within the year and 20 percent over the next two years in equal 10 percent installments.
  • A formal signing ceremony is scheduled for Friday following the delegate approval.
  • Analysts estimate about 37 trillion won in operating profit this year, implying roughly a 3.7 trillion won bonus pool and an average payout near 100 million won per employee, which remains an estimate.
  • The deal replaces a previous bonus cap tied to base pay and has prompted Samsung-affiliated unions to urge changes to Samsung Electronics' EVA-based incentive system.