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UPATE 1-Kia Motors union tentatively agrees to end strike

(Adds new vote schedule, background)

SEOUL, Aug 26 (Reuters) - Labour union leaders at Kia Motors Corp , South Korea's second-largest auto maker, have reached a tentative agreement on a wage increase and other benefits, paving the way for an end to three weeks of strikes, a Kia spokesman said on Tuesday.

Workers belonging to the 23,500-strong union will vote on whether to approve the deal later this week, said spokesman Kim Chang-ho, altering an earlier play to vote immediately.

Kia shares opened 1.2 percent higher at 9,310 won, while the main index fell 0.24 percent.

"We'll disclose details on the tentative agreement soon," Kim said.

The union had been demanding an 11.1 percent pay rise and a cut in the working week to five days from six.

A prolonged strike would have led to order cancellations and hurt earnings at Kia, which produces about a million cars annually.

The company reported a rise in net profit of just 3.4 percent in the second quarter as hefty provisions for warranties offset rising exports of pricier cars.

The labour dispute, which lasted some 20 days, has cost Kia about 530 billion won ($450.9 million) in lost output, a Kia union leader said.

Kia is an affiliate of Hyundai Motor Co , the country's largest auto maker, whose union earlier this month won an 8.6 percent wage rise, bonuses and incentive payments.

($1=1175.5 Won)