SEOUL, South Korea (AP) — Labor unions at Hyundai MotorCo. and its affiliate Kia Motors Corp. said
workers voted to strikeafter talks with management for increased pay and benefits collapsed.Hyundaiunion
spokesman Kwon Oh-il said Wednesday that management refused alldemands by the union during three months of
annual talks.Theunion wants workers to get improved benefits, including 10 million won($8,900) support to
help children of unionized workers seek jobs if theydon’t go to college, a 130,000 won ($116) increase in
monthly baseincome, bigger bonuses and full reimbursement of medical expenses ifworkers are diagnosed with
cancer.Kwon said 46,000 Hyundaiworkers will determine the extent of the strike early next week. Kia’s30,000
workers are taking a similar step.Hyundai said it had offered to resume talks with the union on
Friday."Weregret that the union has begun preparations to strike despite thecompany’s proposal to
outline its offers in the next round of talks.There are also many aspects of the union’s demands that are
hard toaccept from the company’s point of view," Hyundai said in a statement.Kwon said Hyundai’s
proposal was insincere and short of a full response to the union’s demands.Hyundaiand Kia, which together
form the world’s fifth largest automaker, havebeen plagued by disputes with their unions for the past two
years.Hyundai’slatest earnings were hit by its union’s refusal to allow overtime forthree weeks earlier this
year and by the rising popularity of foreigncars in South Korea. European and U.S. carmakers lowered prices
afterfree trade deals took effect. The maker of the Elantra said theindustrial action resulted in lost
output of 83,000 vehicles worth 1.7trillion won ($1.5 billion).The company estimated it lostproduction of
82,000 vehicles worth 1.7 trillion won due to 92 hours ofwalkouts by workers in 2012.With labor strife at
home and waningdemand from Korean consumers, South Korea’s largest automaker hasincreasingly looked abroad
to ramp up production. Hyundai is consideringincreased production in China, its chief financial officer said
lastmonth.Copyright 2013 The Associated Press.