Samsung Electronics' Non-Chip Division Union to File Lawsuit Over Wage Agreement

Deep News05-29

According to a lawyer, a minority union at Samsung Electronics Co., Ltd., representing employees in the consumer electronics division, will file a petition with a South Korean court to suspend the implementation of a wage agreement that primarily benefits workers in the chip division.

Two other unions at the world's largest memory chip and television manufacturer, including its largest union, voted this week to approve a wage agreement that grants substantial bonuses to employees in Samsung's memory chip division, whose profits have surged amid the booming artificial intelligence sector.

The Samsung Electronics Union (SECU), which has approximately 13,000 members mainly from the company's smartphone, television, and home appliance divisions, had initially sought an injunction to halt the voting process.

The agreement, brokered through last-minute government mediation, averted a planned 18-day strike but also resulted in less favorable terms for some employees outside the chip division.

"Now that the vote has passed, the SECU union will request the court to suspend the execution of this wage agreement," the union's lawyer stated during a court hearing on Friday.

The legal counsel for SECU indicated that they will submit revised injunction application documents next week and anticipate a court ruling within one month.

A spokesperson for Samsung Electronics' largest union declined to comment.

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