Samsung Workers Strike for Better Pay and Leave
The largest labor union at Samsung Electronics in South Korea has declared an indefinite strike following a three-day walkout that failed to resolve a tense dispute over pay and bonuses.
The announcement on Wednesday came after a strike earlier this week involving 6,000 workers, primarily from the company’s semiconductor division, according to the union. The National Samsung Electronics Union (NSEU) stated that its 31,000 members, nearly a quarter of the company’s total workforce in South Korea, would begin an indefinite strike from July 10. This action marks the largest labor strike in Samsung’s 55-year history.
In a statement on its official website, the union said the company would “regret this decision” of not negotiating. They expressed confidence that prolonged strike action would pressure management to engage in dialogue, leading to a “victory” for the workers.
Samsung Electronics responded by asserting its commitment to good faith negotiations with the union and assuring that production lines would not be disrupted. However, union leader Son Woomok warned that restoring facilities shut down by the strike could be a lengthy process.
The dispute gained attention in June when the union staged a one-day strike after talks over a transparent pay structure and better working conditions failed. The world’s largest memory chipmaker has faced challenges in recent years, including a historic shortage of computer chips during the Covid pandemic, followed by falling demand due to global economic uncertainty.
Despite these challenges, Samsung is optimistic about a resurgence in demand for mobile devices, especially with the launch of new AI-powered smartphones. The company recently projected a more than 15-fold increase in second-quarter operating profit compared to the same period last year. However, workers want this optimism reflected in their pay. Union leader Woomok criticized the company for not treating employees properly, noting that despite high operating profits, the company has cited a crisis situation for over a decade, leading to growing dissatisfaction among employees over stagnant performance bonuses.
