[News Today] Samsung labor-management talks fail

[LEAD]

Samsung Electronics labor and management held last-minute talks ahead of a planned general strike. But those talks ultimately ended without a breakthrough. Even after the Central Labor Relations Commission presented a mediation proposal, the two sides remained far apart. And early this morning, the union declared that the final post-mediation process had broken down.

[REPORT]

On the second day of post-mediation, labor representatives head to the meeting room of the Central Labor Relations Commission.

Soon afterwards, management representatives also enter.

The mediators and Samsung Electronics labor and management continued negotiations for more than 10 hours without a lunch break, but failed to reach an agreement.

Each side presented their compromise proposals.

Management reportedly proposed bonuses of more than 10% of operating profit when the company's earnings are strong.

Labor said it would lower its original demand of 15% by 1–2 percentage points.

However, it insisted on fixing the bonus rate regardless of the company's business performance.

The two sides are split on the key points.

The negotiations eventually failed, and the CLRC presented a mediation proposal.

Labor and management continued talks over the commission's proposal late into the night, but they ended without an agreement.

Choi Seung-ho / Chair, Samsung Electronics Labor Union

We failed to narrow our differences, and requested a mediation. We waited over 12 hours, but it fell short of our demands.

However, the talks could continue until the general strike begins on May 21, as the government has proposed extending the post-mediation period.

Another variable is whether the court will grant management's injunction request to ban illegal strike actions.

Also, given the possibility of massive damage from the strike, the government may invoke emergency arbitration powers, which would ban labor disputes for 30 days.