Labor Pushback Emerges as Hyundai Moves Toward Humanoid Automation (Yonhap)
SEOUL, Jan. 23 (Korea Bizwire) — Hyundai Motor Group’s ambitious plan to position humanoid robots as a pillar of its future growth is facing stiff internal resistance, as labor leaders move to block the introduction of robots on production lines without formal agreement.
The conflict emerged this week after Hyundai’s powerful labor union warned that no humanoid robots would be allowed on factory floors without union consent, raising early doubts about the automaker’s strategy to gain leadership in so-called “physical artificial intelligence.”
At the center of the dispute is Atlas, a humanoid robot developed by Boston Dynamics, Hyundai’s robotics subsidiary, which the company showcased earlier this month at the Consumer Electronics Show in Las Vegas. Designed to walk, lift and perform complex industrial tasks, Atlas has been presented by Hyundai executives as a key element of the group’s long-term manufacturing transformation.
In a statement circulated to members on Wednesday, the Hyundai Motor branch of the Korean Metal Workers’ Union said robot deployment would inevitably threaten jobs and warned management against introducing even a single unit without labor approval.
A demonstration of Atlas transporting automotive parts at Hyundai Motor Group’s exhibition booth at CES 2026. (Photo courtesy of Hyundai Motor and Kia)
The union’s reaction reflects growing anxiety over automation’s economic implications. While Hyundai’s stock surged following the Atlas unveiling — driven by investor optimism that the automaker is evolving into a physical AI company — labor leaders said the rally underscored the very threat workers fear: a restructuring of production that prioritizes efficiency over employment.
Union officials pointed to stark cost comparisons. A robot, they argued, could operate nearly around the clock at a fraction of the cost of human labor. Industry estimates put the price of a single Atlas unit at roughly 200 million won, with annual maintenance costs far below the wages of multiple factory workers, making it possible for companies to recoup investments within a few years.
Atlas is capable of lifting loads of up to 50 kilograms, operating in extreme temperatures and learning new tasks within hours. Except for battery replacement, it can function continuously — a level of efficiency that labor leaders say could incentivize companies to accelerate workforce reductions.
Hyundai Motor Group’s Atlas humanoid robots are on display at the group’s booth at the CES technology show, one of the world’s largest IT and home appliance trade fairs, in Las Vegas, Nevada, on Jan. 6, 2026, after the four-day event opened with about 4,500 companies taking part. (Yonhap)
Hyundai has said it aims to build a mass-production system for as many as 30,000 humanoid robots by 2028, gradually deploying them across manufacturing sites. That timeline has heightened concern that labor-management tensions over automation could intensify well before the technology reaches full commercial maturity.
In unusually blunt language, the union warned that pushing robots into factories without agreement could trigger a breakdown in labor relations, raising fears of prolonged confrontation reminiscent of historical resistance to mechanization.
Industry experts urged caution on both sides, noting that humanoid robots remain years away from large-scale commercial deployment.
“Atlas is unlikely to replace production workers wholesale in the next two or three years,” said Lee Ho-geun, a professor of automotive engineering at Daedeok University. “Rather than reacting with fear, labor and management should work toward agreements that include job transitions and employment security.”
Others argued that robotics should be framed not as a tool for job cuts but as a means to improve productivity and global competitiveness, particularly as manufacturers face rising costs and trade pressures.
Whether Hyundai can reconcile its technological ambitions with labor concerns may determine how quickly South Korea’s largest automaker can translate its vision of physical AI from concept to factory floor.
M. H. Lee (mhlee@koreabizwire.com)
