Labor and Management Hold Final Mediation Meeting Ahead of May 21 Walkout
Samsung Electronics Headquarters (Businesskorea DB)
Samsung Electronics labor and management are entering their final post-mediation meeting to resolve key issues, including the criteria for calculating performance bonuses, ahead of the scheduled general strike on May 21.
The National Labor Relations Commission will hold the third post-mediation meeting between Samsung Electronics labor and management at the Government Complex Sejong at 10 a.m. on May 20. Labor and management engaged in a heated debate over the criteria for calculating performance bonus funds and the abolition of the cap system during the second meeting, which lasted from the morning of the previous day until dawn of this day, but ultimately failed to find common ground.
National Labor Relations Commission Chairman Park Soo-geun has solely presided over the post-mediation and presented a final mediation proposal to both labor and management. The management decided to organize its internal position by this morning before attending the meeting, while the union side has been waiting up all night, leaving themselves with no retreat. The National Labor Relations Commission has established a policy to complete all procedures by the morning if possible, considering the union members approval vote and the strike preparation period.
Chairman Park met with reporters and emphasized that he will decide today whether an agreement can be reached or mediation can be established. If the negotiations are settled, the strike schedule is expected to be postponed, but in the opposite case, large-scale logistics and production disruptions are inevitable. The union has warned that if negotiations fail, it will force a general strike involving approximately 50,000 people for 18 days, starting on May 21 and ending on June 7.
The point where both labor and management clash most sharply is the transparency and institutionalization of the performance bonus calculation method. While the union demands a clear performance bonus payment system based on operating profit, the management is showing a cautious attitude, citing the uncertainty of the business environment.
The government is closely monitoring the ripple effects this situation will have on the national economy and has begun preparing countermeasures. Its position is to even consider invoking the emergency adjustment power if the strike raises concerns of massive damage to the overall national economy, including the semiconductor supply chain. If the emergency adjustment power is announced, the workplace in question is prohibited from all industrial action for 30 days and must follow the mediation procedures of the National Labor Relations Commission.
Jung Min-hee
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