Translation result
[Digital Today reporter Seok Dae‑gun] After Samsung Electronics Chairman Lee Jae‑yong issued a public apology on May 16 and urged the union to unite “as one family,” management and labor agreed on May 18 to return to the Central Labor Relations Commission’s second post‑adjustment mediation table. With just three days before the planned strike, both sides have signaled a willingness to yield slightly to pursue a final round of talks.
On the afternoon of the 16th, upon arrival at the Seoul Gimpo Business Aviation Center in Gangseo District, Lee told reporters, “I sincerely apologize to customers around the world for the anxiety and concern caused by internal company issues,” and added, “I bow and apologize to our fellow citizens.” He appealed directly to union members: “Union members, Samsung family — we are one body, one family. Now is the time to pool our wisdom and move together in the same direction.” He also assumed responsibility, saying, “I will take the brunt of the storm and accept full responsibility,” making clear he bears final accountability. This was his first public apology since becoming chairman in October 2022 and his third national apology, following the 2015 MERS outbreak and the 2020 apology over non‑union management.
Following Lee’s appeal, both sides took conciliatory steps. Management accepted the union’s demand and replaced its chief negotiating representative, substituting Vice President Kim Hyung‑ro with Yeomyeong‑gu, head of the People Team for the DS (semiconductor) division, as the company’s lead negotiator. The union agreed to the company’s request to allow Vice President Kim Hyung‑ro to attend the mediation without speaking so the union could better follow the negotiation process. Choi Seung‑ho, chair of the Samsung Group Cross‑Company Labor Union’s Samsung Electronics chapter, said of Lee’s remarks, “Restoring trust may take time, but I hope we can work from this round of talks to move forward together.” He added that, ahead of the post‑adjustment mediation, the company apologized for damaging trust and pledged to negotiate in good faith; he said he would do his utmost in response.
This second post‑adjustment session is likely the last mediation effort before the strike. After the first session, held May 11–12, broke down and talks stalled, Employment and Labor Minister Kim Young‑hoon met with both sides on May 15 and 16 to reopen the negotiation table. Park Soo‑geun, chair of the Central Labor Relations Commission, will attend the mediation in person. With only three days left between May 18 and the strike date of May 21, observers warn that if this mediation fails, further intervention will be practically difficult. Lee has adjusted his schedule since returning to personally oversee the progress of the negotiations.
◆ Room to compromise on bonus size, but institutionalization likely to trigger last‑minute clashes
The central disputes concern the size of the excess‑profit incentive pay (OPI) and how to formalize the program. The union demands removing the cap tied to a 15%‑of‑operating‑profit benchmark and making the scheme permanent. Management has proposed adding a new uncapped special compensation option that would allow employees to choose between 10% of operating profit and Economic Value Added (EVA). Observers say the sides could find common ground on the funding ratio, but both take hardline positions on institutionalization — a key union demand — so contentious negotiations are likely to continue until the end.
Internal divisions within the union remain a wildcard. Hundreds of members from the finished‑products (DX — Device eXperience) division have filed for provisional injunctions to suspend negotiations in protest of talks centered on semiconductors (DS). By challenging the union’s bargaining rights itself, they could significantly weaken the strike’s momentum, analysts say. The Suwon District Court plans to rule by the 20th on the company’s earlier request for an injunction to bar unlawful strike actions. If the court grants that injunction, the cross‑company union will face overlapping legal risks. With the May 18 mediation result and the court’s decision converging this week, observers say it will be the practical turning point in the Samsung labor dispute.
Most Commented