Anchor: A Seoul court has ordered Kia Motors to repay its employees over 422 billion won worth of back wages. The ruling came after the court recognized regular bonuses and lunch costs as part of ordinary wages.
Our Kim Soyon has more.
Report: A Seoul court has recognized regular bonuses and lunch expenses paid out to Kia Motors' employees as part of "ordinary wages" and ordered the company to pay more than 422 billion won to its employees.
Kia argued that the labor union's request for extra pay violates the "principle of good faith" as it will exacerbate management woes, however, the court did not accept this argument.
The Seoul Central District Court on Thursday partially upheld the plaintiffs in a wage lawsuit filed in 2011 against the company by more than 27-thousand-400 unionized workers at the carmaker.
Recognizing regular bonuses and lunch costs as part of ordinary wages, the court determined that a total of 422 billion won has to be paid out to the employees for three years of back wages and overdue interest.
The figure is about 38-point-seven percent of what was requested by the union.
The court said there were no grounds to acknowledge the company's claim of management woes.
The court noted that the carmaker posted considerable net profits between 2008 and 2015 without incurring any net losses.
It also pointed out that Kia earned between one trillion and 16 trillion won in annual profits each year during that period.
The ruling is expected to have great repercussions not only on Kia but also across the entire industry.
Kim Soyon, KBS World Radio News.