Samsung Electronics Union goes on strike for the first time

Samsung Electronics' largest labor union, the National Samsung Electronics Union (NSEU), staged a strike on Monday for the first time in 55 years since its founding. After 51 years of union-free management, Samsung Electronics faces a ‘labor union risk’ during a recovery cycle in the semiconductor industry. Some suggest that Samsung should establish a new labor-management relationship that is symbiotic with the union.

According to the NSEU, 6,540 members who have expressed their intention to participate have begun a general strike from Monday to Wednesday. These 6,540 members represent 21.3 percent of the total union membership (30,657) and 5.2 percent of Samsung Electronics' total employees (124,804 as of the end of last year). Since about 80 percent of all NSEU members are from the semiconductor device solutions (DS) division, it is estimated that a significant number of the strikers are DS employees.

The NSEU estimated that 4,000 strikers attended the general strike rally at the main gate of the company's Hwaseong Campus in Gyeonggi Province for about an hour starting at 11:10 A.M. In contrast, the police estimated the number of strikers to be 3,100. The NSEU rejected a 5.1 percent wage increase proposed by Samsung Electronics' labor-management consultative body and is demanding a 6.5 percent increase. The union has stated that it will launch a second general strike if the company does not present a negotiating proposal by July 10.

The company issued an official statement saying, "Thanks to prior preparations, the strike did not disrupt production."


Do-Young Kwak now@donga.com