Samsung Seeks Court Block Against Planned Chip Union Strike Over 45 Trillion Won Bonus Demand

GateNews

Gate News message, April 16 — Samsung Electronics has filed a request with the Suwon District Court in South Korea to prohibit illegal labor-dispute actions ahead of a planned union strike. The company cited concerns about potential illegal steps including occupying production facilities, disrupting safety systems, and coercing employees to join.

The National Samsung Electronics Labor Union plans a mass rally later this month followed by a broader strike next month, demanding performance bonuses equal to 15% of Samsung’s annual operating profit. Analysts estimate the total bonus pool could reach 45 trillion won (approximately $30 billion), exceeding the company’s annual research-and-development spending of 37.7 trillion won ($25.6 billion). The demand increased from 10% after Samsung posted record quarterly operating profit of 57.2 trillion won ($38.9 billion), driven by strong demand for AI memory chips.

The union rejected management’s proposal to include equipment and manufacturing staff as covered workers, framing the court filing as legal pressure rather than dialogue. A strike could disrupt global semiconductor supply, as Samsung produces 100% of its DRAM chips in South Korea. Semiconductors account for 38.1% of South Korea’s total exports, with March semiconductor exports reaching $32.83 billion. The bonus formula has also created internal tension, as the semiconductor division is expected to deliver about 95% of total profits, while employees in other divisions such as the Device eXperience (DX) group that produces smartphones and televisions have expressed resentment.

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