SK hynix is set to establish a unified union that breaks down job barriers, as the original union system—split by production lines and technical/administrative roles—has created a fragmented multi-union structure. The catalyst for this new unified union was last year's agreement between labor and management on an excess profit-sharing system, but the company's proposed modifications during this year's wage and collective agreement negotiations sparked widespread protests among all employees.
The new union will be independent, not affiliated with the two major national labor organizations: the Federation of Korean Trade Unions (FKTU) or the Korean Confederation of Trade Unions (KCTU). It will be led by a temporary chairperson from the younger generation of technical and administrative staff, with a production line employee serving as vice chairperson, consolidating demands across all positions. Whether the new union can directly participate in the ongoing wage negotiations for this year remains uncertain.
SK hynix officially responded: "We are verifying the union's submission of the establishment application. Once confirmed, we will handle it in accordance with labor laws and legal procedures." Labor and management are scheduled to hold the sixth round of formal wage negotiations on the 11th, continuing to spar over a performance bonus reform plan.
According to disclosures, the company has proposed two major adjustments to the union: first, distributing a portion of performance bonuses in the form of company stock, with a lock-up period and restrictions on selling; second, allowing temporary salary reductions if the company incurs an operating loss. These proposals have sparked intense anger among all employees. Union members internally question: "Why should we, as SK hynix employees, bear the cost of Samsung Electronics' bonus controversy?"
SK Group Chairman Chey Tae-won has publicly stated: "If employee benefits harm other stakeholders, achieving sustainable growth requires adjusting the bonus calculation rules." Song Jae-yong, a chaired professor at Seoul National University's Graduate School of Business, commented: "Global large tech companies commonly use restricted stock units (RSUs) as incentives, differentiated based on individual contributions. A reasonable direction would be to raise overall compensation levels, allocate stock based on individual performance, with bonus sizes and distribution methods subject to board and shareholder approval."
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