Samsung Electronics on Thursday invited its South Korean labour union to reopen discussions over pay after government-mediated negotiations collapsed, a union official said, citing a letter from the company.
The Labour Commission of South Korea has also called on both parties to attend another round of government-led talks on Saturday in an effort to prevent a threatened protracted walkout.
Union representative Choi Seung-ho responded to the company's letter by reiterating the union’s stance on transparency and structural change, saying, "There is no reason to continue the dialogue without institutionalisation and transparency," in reference to the union’s push for an overhaul of Samsung’s bonus scheme.
Samsung Electronics was not immediately available for comment.
The union says it plans an 18-day strike beginning on May 21 if its demands are not satisfied. The action stems from anger over what the union calls a substantial disparity in bonus payments compared with chipmaker SK Hynix.
Finance Minister Koo Yun-cheol said on Thursday that a strike must be avoided, warning that it would represent a significant risk to South Korea's economic growth, exports and markets. His comments came as officials emphasised the expanding role of semiconductor sales in the national economy.
Government data show semiconductors accounted for 37% of South Korea's exports in April, compared with 20% a year earlier, underscoring the economy's growing reliance on booming chip shipments.
Context and immediate developments
- The company requested a resumption of pay talks after mediation efforts failed.
- The Labour Commission has urged another mediated session on Saturday to avert a lengthy strike.
- The union demands an institutional and transparent revision of Samsung's bonus system and has set a potential 18-day strike starting May 21 as leverage.
Implications
The dispute highlights tensions at a major exporter whose semiconductor shipments have become a larger share of the national export mix. Officials are publicly stressing the economic risks of labour disruption while the union presses for changes to pay structures it sees as inequitable compared with peers.