CNN reported Tuesday the strikes that hit the company in July and August resulted in slower production, which trimmed output by 80,000 vehicles at a cost to the company of $1.5 billion.
"Our priority now is to normalize production and fulfill customers' expectations," the company said in a statement.
The new contract eliminates overnight shifts the union opposed.
It also grants union workers a signing bonus of $8,468. The company will also grant workers a 5.4 percent pay increase and a bonus increase of 350 percent.
"Hyundai Motor management is pleased that the labor union members approved the agreements made last week, putting an end to the strikes," the company said.
"We've been pushing to change the working shift system for the past 10 years. Union members will have more time to spend with their families," union spokesperson Kwon Oh-Il said.