Hyundai Heavy Industries has struck a pact with yard workers over a two-year-long wage dispute.
Yonhap News agency reported that 65% of the 6,707 voters have voted in favour of the tentative deal that was proposed by HHI. There are 7,215 unionised workers at the shipyard.
HHI employs about 20, 000 workers including sub-contractors.
The agreement included a basic pay rise of KRW 46,000 ($40) for 2019, KRW 51,000 for last year, special bonuses for the past two years and other benefits.
It was reported that each unionised worker will get KRW 18m ($15,700) in back pay, which translates to a total of about $113m.
The deal ended a labour dispute between the shipyard and its workers that has been ongoing since negotiations started in May 2019. During that time, union members rejected two proposed agreements.
Last month, shipyard workers staged a protest by downing tools and occupying a 40-metre-high crane.
Shipbuilding sources described it as a small protest that did not gravely affect the shipyard’s operation. However, the protest lasted for four days.
HHI, Hyundai Samho Heavy Industries and Hyundai Mipo Dockyard are under the control of Korea Shipbuilding & Offshore Engineering, a subsidiary of Hyundai Heavy Industries Holdings.
The shipyard-controlling unit is looking to acquire a majority stake in compatriot Daewoo Shipbuilding & Marine Engineering but this has stalled as it needs anti-trust approval from other countries.
To date China, Kazakhstan and Singapore have given the deal the go ahead.
