Seoul: Kia Corp. and its labor union have tentatively reached a wage agreement, averting a planned strike that was scheduled for the following day. If the union members approve the agreement, Kia will secure a wage deal for the sixth consecutive year without experiencing a strike.

According to Yonhap News Agency, the preliminary agreement includes a monthly base pay increase of 100,000 won (US$72.20), a performance bonus exceeding 400 percent of the workers' monthly salary, and an additional payment of 12.7 million won to each employee. Unionized workers are expected to vote on the proposed deal on Friday.

Earlier in the day, Hyundai Motor Co., which owns Kia, also reached a tentative wage agreement after a series of strikes that disrupted production.