Samsung Electronics Union Vote Begins Amid Backlash From DX Division
The tentative deal would tie payouts to operating profit and could give memory chip workers up to 600 million won, union officials said.
- On Friday, roughly 87,000 Samsung Electronics union members began voting on a tentative wage agreement that averted a planned 18-day strike at the South Korean tech giant this week.
- Negotiations followed union demands for bonuses matching rivals like SK hynix, where payouts last year were more than three times higher. Strike threats raised concerns about South Korea's economy, as semiconductors account for around 35 percent of exports.
- The tentative agreement creates a new bonus pool for Device Solutions semiconductor employees worth 10.5 percent of operating profit, paid in stock. Memory business employees could receive bonuses of up to 600 million won.
- Voting runs for six days until May 27, with the agreement automatically ratified if a majority of those participating approve it. Analysts expect the deal to pass, given a significant portion of union members are from the memory chip division.
- While workers are expected to benefit, some shareholders have vowed legal action against the agreement, citing lack of shareholder resolution approval. Dissent also persists among DX and foundry division employees who argue the deal favors the profitable memory business.
29 Articles
29 Articles
There has been unrest for a long time at the South Korean tech giant Samsung Electronics, the country's largest company. After months of negotiations, threats of a massive strike, and government mediation, the union and Samsung have reached a temporary agreement. The South Korean stock market reacted immediately positively following the reaching of a temporary agreement and posted its largest daily gain since early April. However, the tension is…
The employees of the South Korean memory chip giant Samsung Electronics began voting on Friday on an agreement to avoid a strike providing for a super individual premium for profits related to the AI, at the risk of encouraging claims in other companies.
After an agreement, around 89,000 employees of Samsung Electronics in South Korea vote on a new collective agreement. Semiconductor employees could receive profit-dependent bonus payments of hundreds of thousands of euros.
Although Samsung Electronics management and labor dramatically reached a tentative wage agreement just before a general strike, the atmosphere suggests that embers of internal conflict still remain. While the likelihood of the agreement being approved is gaining traction ahead of the vote starting at 2 p.m. on the 22nd, it has been reported that there are also a significant number of voices within the company arguing for its rejection. Industry …
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