Hyundai Motor Group advances payment for suppliers ahead of Chuseok holiday

2023.09.20 14:06:01 | 2023.09.20 14:30:37

Hyundai Motor Group headquarters in Seoul. [Courtesy of HMG]이미지 확대

Hyundai Motor Group headquarters in Seoul. [Courtesy of HMG]

As the Chuseok holiday draws near, Hyundai Motor Group has announced its plan to advance payments for supplier invoices, totaling almost 2 trillion won ($1.5 billion). This move by the automotive conglomerate is aimed at relieving financial burdens on its partner companies through early payment settlement, with some stretching as far as 20 days ahead of schedule.

The beneficiaries of the early payment plan include over 6,000 supplier companies, including those supplying parts and materials to various Hyundai Motor Group companies such as Hyundai Motor, Kia, Hyundai Mobis, Hyundai Glovis, Hyundai E&C, Hyundai Steel, Hyundai AutoEver, Hyundai Wia, and Hyundai Transys.

Hyundai Motor Group is actively encouraging first-tier suppliers to follow suit and expedite payments to second and third-tier suppliers before the Chuseok holiday, thereby expanding the scope of beneficiaries and maximizing the impact of early payments.

Furthermore, in support of promoting the consumption of domestic agricultural and seafood products, Hyundai Motor Group is launching collaborative efforts with many other stakeholders through the purchase of Onnuri Gift Certificates that can be used to buy things in traditional markets.

The group has purchased about 9.1 billion won worth of gift certificates, distributing them to employees. Hyundai Motor Group employees can access employee-dedicated online shopping mall to purchase domestically sourced agricultural and seafood products using the gift certificates.

Hyundai Motor Group has consistently implemented such policies annually, exemplified by last year’s purchase of 7.4 billion won worth of gift certificates during the Chuseok holiday. The policies reflect the group’s commitment to supporting local agriculture, fostering economic collaboration, and promoting the well-being of its employees.

By Moon Gwang-min and Minu Kim

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