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Supreme Court Rules in Favor of In-house Subcontractors of Hyundai, Kia

Written: 2022-10-27 14:54:39Updated: 2022-10-27 15:03:58

Supreme Court Rules in Favor of In-house Subcontractors of Hyundai, Kia

Photo : YONHAP News

The Supreme Court has ruled in favor of subcontractors seeking regular employee status in a lawsuit against Hyundai Motor and Kia Corporation.

The top court on Thursday upheld lower court rulings on six lawsuits filed by 430 workers, ordering the companies to pay the difference between the actual wages received by the subcontractors and what they would have earned had they been directly employed.

Hyundai is on the hook for five-point-seven billion won to be paid to 159 subcontractors, while Kia must distribute five billion won to 271 workers, and both companies are legally compelled to hire the claimants as regular employees.

However, the court remanded the cases of three subcontractors in charge of production management, determining that a detailed hearing is necessary.

This is the first ruling determining the status of in-house subcontractors related to the overall systems at Hyundai and Kia's manufacturing plants.

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