Government-mediated negotiations between Samsung Electronics and its largest labor union fell apart on Wednesday, according to Reuters, leaving just eight days before an 18-day strike that could shut down much of the world's biggest memory chip operation. The union warned that it is “no longer considering additional negotiations” until after the proposed general strike.
South Korean Prime Minister Kim Min-seok responded by convening an emergency ministerial meeting, instructing officials to closely manage the situation given what his office called the potential gravity of the impact on the national economy.
Samsung has offered a one-time payment for 2026 but refused to commit to permanent changes in how bonuses are calculated, according to union representative Choi Seung-ho. That fell fundamentally short of the union’s demands, which include the scrapping of a cap on bonus pay currently set at 50% of base salary, and the allocation of 15% of annual operating profit to performance payouts.
While Choi said the union doesn’t plan to resume talks before the May 21st strike date, it would consider a new offer if Samsung puts one forward. Samsung said it regretted the outcome and would continue seeking dialogue.
“We spent 16 out of the 17 hours of mediation simply waiting around,” Choi said, according to Korea JoongAng Daily. “We declared the negotiations over because management kept extending the mediation without making any meaningful changes to its proposal, which appeared to be an attempt to weaken momentum for a general strike.”
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