SK hynix workers approve tentative deal tying 60% of bonuses to company stock

SK hynix and its labor union reached a tentative 2026 wage agreement that raises base pay 6.3% and pays 60% of profit-sharing bonuses in company stock, with 40% in cash. The bonus pool is tied to 10% of annual operating profit, and analysts' 250 trillion won forecast would imply a 2.5 trillion won pool, or about $1.79 billion. SK hynix reported second-quarter operating profit of 60.54 trillion won, up 557% from a year earlier, driven by AI-related memory demand.

SK hynix workers approve tentative deal tying 60% of bonuses to company stock - The tentative deal would pay 40% of profit-sharing bonuses in cash and 60% in SK hynix shares, with limited options to receive more in cash. 1 https://www.yna.co.kr/amp/view/AKR20260820111351003 - The pool is tied to 10% of annual operating profit. A 250 trillion won analyst forecast would imply a 2.5 trillion won pool, or about $1.79 billion. 1 https://www.yna.co.kr/amp/view/AKR20260820111351003 2 https://www.tomshardware.com/pc-components/dram/sk-hynix-reaches-tentative-agreement-with-disgruntled-workers-usd1-79-billion-potential-profit-pool-will-be-split-between-cash-and-stock-grants - SK hynix reported 60.54 trillion won in second-quarter operating profit, up 557% from a year earlier, as AI-related memory demand lifted results. 3 https://news.skhynix.com/en/q2-2026-business-results/ SK hynix and its labor union reached a tentative 2026 wage and collective bargaining agreement that would raise base pay 6.3% and pay 60% of employee profit-sharing bonuses in company stock. The agreement still requires approval through the union’s delegate process. 1 https://www.yna.co.kr/amp/view/AKR20260820111351003 2 https://www.tomshardware.com/pc-components/dram/sk-hynix-reaches-tentative-agreement-with-disgruntled-workers-usd1-79-billion-potential-profit-pool-will-be-split-between-cash-and-stock-grants The bonus program uses 10% of operating profit as its funding pool, under a system the company and labor agreed to maintain for 10 years after removing the previous payout cap. The tentative agreement would pay 40% of each bonus in cash and 60% in treasury shares. Forty percent of the stock portion could be sold immediately, while the remaining 20% would be deferred over two years. 1 https://www.yna.co.kr/amp/view/AKR20260820111351003 A large potential pool, based on forecasts If SK hynix earns 250 trillion won in 2026 operating profit, as securities analysts cited by Yonhap have projected, the pool would reach 25 trillion won, or roughly $1.79 billion. Divided across about 35,000 employees, that would equal an average of about 700 million won, or approximately $50,000, before taxes. Actual payouts would vary by job level and individual performance. 1 https://www.yna.co.kr/amp/view/AKR20260820111351003 2 https://www.tomshardware.com/pc-components/dram/sk-hynix-reaches-tentative-agreement-with-disgruntled-workers-usd1-79-billion-potential-profit-pool-will-be-split-between-cash-and-stock-grants The 35,000 figure refers broadly to SK hynix’s standalone workforce. The company reported 35,929 full-time employees on a standalone basis and 47,639 across its consolidated group as of March 31, 2026. It also reported collective bargaining agreements with three unions; the two largest represented 15,684 employees. 4 https://www.sec.gov/Archives/edgar/data/2120882/000119312526280172/d32785df1.htm Stock risk remains part of the deal The arrangement gives employees some protection against share-price declines. The number of shares would be calculated using the lowest closing price among three specified dates, and the agreement includes a compensation mechanism if the value falls below the original bonus amount after distribution. For the 2026 bonus to be paid early next year, employees could choose cash for part of the immediately sellable stock portion, allowing up to 80% of the bonus to be received in cash. 1 https://www.yna.co.kr/amp/view/AKR20260820111351003 The changes follow a period of exceptional earnings. SK hynix reported second-quarter revenue of 79.32 trillion won and operating profit of 60.54 trillion won, up 257% and 557%, respectively, from a year earlier. Its operating margin was 76%. 3 https://news.skhynix.com/en/q2-2026-business-results/ Further sources 1 Yonhap reported the terms of SK hynix’s tentative 2026 labor agreement, includi… ↗ https://www.yna.co.kr/amp/view/AKR20260820111351003 2 Tom’s Hardware reported the projected 2.5 trillion won bonus pool and estimated… ↗ https://www.tomshardware.com/pc-components/dram/sk-hynix-reaches-tentative-agreement-with-disgruntled-workers-usd1-79-billion-potential-profit-pool-will-be-split-between-cash-and-stock-grants 3 SK hynix’s official second-quarter 2026 results reported 79.32 trillion won in … ↗ https://news.skhynix.com/en/q2-2026-business-results/ 4 SK hynix’s SEC-filed registration statement reported 35,929 standalone full-tim… ↗ https://www.sec.gov/Archives/edgar/data/2120882/000119312526280172/d32785df1.htm The stories that matter, in one email. Free — unsubscribe anytime.