"Samsung Electronics enters into wage negotiations for the first time since its foundation" 6 October 2021

Samsung Electronics' labor and management enters the first wage bargaining process since its establishment in 52 years. Earlier, in August, for the first time since its establishment, a labor-management collective agreement was signed.

... labor and management will discuss the 2021 wage negotiation procedure and schedule...

It is known that labor and management will hold negotiations once a week. The union organizes a joint bargaining group and engages in negotiations.

The negotiations will be held for the first time since Samsung Electronics Vice Chairman Lee Jae-yong announced in May of last year that he would abolish non-union management.

Earlier in March, Samsung Electronics announced a 7.5% wage increase this year through the labor-management council, an autonomous in-house organization.

In 2018, labor and management negotiated wages for the first time, but failed to reach an agreement.

However, as Samsung Electronics entered into wage negotiations with the labor union this time, the industry is paying attention to the extent of the wage increase and whether or not it will be reached.

Samsung Electronics said, "We will faithfully engage in dialogue with the labor union by observing relevant procedures."

The draft wage increase demanded by the union includes a 10 million won increase in annual salary, about 1.07 million won in treasury stock per person, about 3.5 million won in incentives due to COVID-19 per person, and 25 percent of operating profit as a bonus.

If the union's wage negotiation proposal is reflected as it is, the average salary per employee will increase by 50 percent compared to last year.

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