Around 3,300 workers at Kumho Tyre’s three South Korean plants – Pyeongtaek, Gokseong and Gwangju – went on an eight-hour strike on 17 August to protest against the planned changes to the wage payment system.

The company lost around KRW5.2bn (US$4.38m) worth of sales because of the strike.

Citing The Korea Times, Tyrepress reported that the tyre-maker wants to implement a peak wage system, while the union has said that the peak wage issue and pay increase negotiations should be kept separate.

The company has reportedly offered a pay hike of KRW1,900 and a bonus of KRW3m if the peak wage system is accepted by the workers and the retirement age increased from 60 to 61. However, the union has asked for an 8.3% rise in pay and performance-based bonus for 2014 without any conditions.