Samsung Electronics has proposed that its South Korean labour union resume pay negotiations after government-mediated talks collapsed, according to a union leader citing a company letter.
The dispute comes amid growing tensions between the company and its workforce, with the union demanding reforms to Samsung’s bonus structure and greater transparency in compensation.
Union representative Choi Seung-ho said the union remains firm in its position.
“There is no reason to continue the dialogue without institutionalisation and transparency,” he said, referring to long-standing concerns over pay disparities compared with rival chipmaker SK Hynix.
The South Korean Labour Commission has called for renewed government-mediated talks on Saturday in an effort to prevent a planned 18-day strike set to begin on May 21 if no agreement is reached.
Koo Yun-cheol warned that a strike would pose a serious risk to the country’s economic stability, exports, and overall growth.
“A strike should be averted no matter what,” he said, highlighting the importance of the semiconductor industry to South Korea’s economy.
Semiconductors have become a critical pillar of South Korea’s export-driven economy, accounting for 37% of total exports in April, up significantly from 20% a year earlier, according to government data.
The industry’s rapid growth has increased pressure on both management and labour, particularly as global demand for chips continues to rise and competition among major manufacturers intensifies.
Analysts warn that any prolonged disruption at Samsung Electronics could have ripple effects across global supply chains, given the company’s central role in semiconductor production.
For now, both sides are expected to return to the negotiation table as government officials push for a resolution before the planned strike deadline.
