Hyundai, Kia unions, managements set to clash over new wage system

Workers of Hyundai Motor Co. and its smaller affiliate Kia Motors Inc. are set to haggle with their managements over a new wage system that could inflict a huge financial burden on the world's fifth-largest automaking group, industry sources said Thursday. Last year, the country's Supreme Court made a landmark ruling on a prolonged dispute over the so-called "ordinary wage" saying that non-monthly bonuses, if paid out regularly, constitute part of the ordinary wages. Ordinary wages refer to a fixed amount paid to an employee on a regular basis and are used as the basis for calculating certain employee benefits, such as overtime pay, paid annual leave, severance pay and other allowances.