Non-union automaker Hyundai has joined Toyota and Honda in raising wages following a historic strike from the United Auto Workers (UAW) union.
Speculation has swirled since the beginning of the six-week UAW strikes against Ford, General Motors (GM) and Stellantis as to whether wages would end up increasing at non-union factories in the U.S. The question has been answered, as Hyundai announced plans to increase wages for its workers by 14 percent on Monday, with plans to boost pay by 25 percent by 2028 (via Automotive News).
The move will be applied to roughly 4,000 “production team members” at Hyundai’s manufacturing facility in Montgomery, Alabama. It will also be applied to a plant expected to open in 2025 in Bryan County, Georgia, which is expected to employ around 8,500 people.
The Georgia site, dubbed the Metaplant complex, is set to build six electric vehicles (EVs) for the Hyundai, Genesis and Kia brands.
A spokesperson from the automaker didn’t comment on whether the decision was related to the UAW strikes, saying only that the wage hikes were meant to help “retain and attract top talent.”
The company also said it raised wages earlier this year at the Alabama factory.
Hyundai North America CEO Jose Muñoz said the company hires “the best team members in the industry and is compensating them accordingly,” adding that the Korean automaker “continuously strives to maintain competitive wage and benefits commensurate to industry peers.”
Similarly, Honda announced plans last week to increase wages by 11 percent, while Toyota shared plans to boost pay by 9 percent, both set to begin in January.
Hyundai is building the Metaplant complex in Georgia to build upcoming electric vehicle (EV) models and batteries, and Honda began construction on a $3.5 billion battery cell factory in Ohio earlier this year. Toyota boosted its investment at a North Carolina plant late last month as it hopes to begin building EVs at the site by 2025.