Kia and Hyundai Offer Incentives to Fired Employees

Kia and Hyundai are trying a different approach in South Korea, a country which now faces gloomy predictions when it comes to new car sales in the upcoming months. The government recently shut down a programme through which it offered tax incentives to new car buyers for boosting car sales across the country. But Hyundai and its subsidiary Kia got themselves prepared for the months to come.

According to Shanghai Daily, Hyundai will offer 3 million won (that's around $2,454) to consumers who buy one of its models on installment plans and lose their jobs in the first year after the acquisition. The South Korean manufacturer mentioned that the money will only be paid to buyers who got laid off after 120 days of the first installment payment.

Kia will also take part in the programme but, compared to its parent company, it will offer up to 5 million won (approximately $4,000) to people who purchase a car in August and lose their jobs in the next year.

Separately, both Hyundai and Kia posted steady sales in the United States as well, mostly thanks to a similar programme that allowed buyers to return their cars if they lose their jobs in the first year of purchase. Additionally, the two carmakers benefited from the government Car Allowance Rebate System (CARS) which offers between $3,500 and $4,500 to consumers who agree to trade-in an old car for buying a more fuel efficient model.

The United Kingdom brought enthusiastic figures as well, with Hyundai's fuel efficient models and the local scrapping scheme helping the South Korean manufacturer become one of the top automakers in the country.