SK Hynix management and the production union reached a new tentative labor agreement on September 10. The deal is subject to a vote by union members scheduled for September 15–16.
The updated proposal increases the cash portion of the profit-sharing bonus to 50 percent. The remaining 50 percent will be distributed in stock over three years, with tranches of 30 percent, 10 percent, and 10 percent respectively. Employees may choose to increase their stock allocation in 10 percent increments.
This agreement follows the rejection of an August proposal, which offered 40 percent in cash and 60 percent in stock. Employees expressed concerns regarding stock price volatility, which led to the initial vote failure.
Under the new terms, the company agreed to accelerate the payment of deferred profit-sharing bonuses from last year. SK Hynix will also cover additional costs related to stock price increases during the distribution period and expand housing loan subsidies for single-parent households.
