Seoul: Unionized workers at Kia, South Korea’s second-largest automaker, voted to accept the company’s wage proposals without a strike for the first time in a decade.

Kia said 68% of 26,945 workers voted in favor of wage offers that include a 75,000 won ($ 64.30) increase in monthly base salary, two months of performance-based pay and cash bonuses. valued at 5.8 million won.

More than 1,600 of the 28,604 union members abstained, reports the Yonhap news agency.

But Kia rejected the union’s demand to extend the retirement age to 65 instead of 60 and to reinstate the laid-off workers.

The company and member union reached a tentative wage deal earlier this week without going on strike amid the pandemic.

This is the first time that Kia has signed a wage agreement without industrial action.

They are expected to sign the wage agreement on Monday.

Last month, its largest subsidiary Hyundai Motor Co. and its union signed this year’s wage agreement without a strike for the third year in a row.

Hyundai Motor and Kia form Hyundai Motor Group, the world’s fifth largest automotive group.

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“Our first priority right now is to overcome supply chain challenges … The first step is to get back to normal and achieve a target of two lakh units in the domestic market and around 50,000 units. export so that we can reach the 2.5 lakh sales mark during the year (FY22). This is our short term goal, ”said Hardeep Singh Brar, vice president and head (sales and marketing) from Kia India to PTI during an interaction.