Hyundai Workers Strike Over New Humanoid Robots

Thousands of workers at a major Hyundai car factory in Ulsan, South Korea, have started walking off the job early. This action is a response to the company’s plans to use humanoid robots—machines designed to look and move like humans—on the production line. According to The Wall Street Journal, this is the first time in the car industry that workers have gone on strike specifically because of humanoid robots.

The trouble began after 15 rounds of talks between the company and the labor union failed to reach an agreement. Reports from The Korea Times state that workers ended their shifts two hours early for several days in mid-July. They also plan to hold four-hour strikes later in the month to show their frustration. The union represents more than 39,000 workers who are worried about their future in a factory that is becoming more automated.

The tension started when Hyundai Motor Group showed off the newest version of the Atlas robot earlier this year. Atlas is a tall, two-legged robot made by Boston Dynamics, a company that Hyundai is in the process of buying completely. The robot is strong enough to lift heavy objects, and Hyundai has big plans for it. According to The Korea Herald, the company wants to put more than 25,000 of these robots into its factories. While the first robots are expected to arrive in factories in the United States by 2028, the company has not yet said exactly when they will arrive in other locations.

For the company, the robots are a way to work more efficiently. According to an interview with Bloomberg, analyst Esther Yim from Samsung Securities Co. noted that each Atlas robot costs about $130,000. However, she believes the robots will pay for themselves within two years. Other experts see even more potential for cost savings. James Hong at Macquarie Securities Korea Ltd. suggested that if the price of the robots drops to $100,000, the cost to run them could be lower than the current US federal minimum wage. This makes the robots much cheaper than paying a human worker a full salary.

Because of these concerns, the union is fighting for new protections. The Wall Street Journal reported that the union wants Hyundai to change how workers are paid. They are asking for a fixed salary instead of hourly pay to make sure that their income does not drop if the company reduces their working hours. Additionally, the union is asking the company to raise the retirement age from 60 to 65. They are also looking for larger bonuses for the workers who stay on the job.

This situation highlights a growing debate about the role of technology in the workplace. While companies see robots as a way to increase production and lower costs, workers see them as a threat to their livelihoods. As humanoid robots become more capable, the pressure on companies to balance new technology with the needs of their human employees will likely increase. For now, the workers at the Ulsan plant are waiting to see if Hyundai will listen to their demands before more robots are introduced to the factory floor.