Samsung Electronics' headquarters in Suwon, Gyeonggi Province, April 30 / Yonhap
Samsung Electronics' top management on Thursday vowed to continue negotiations with the company's union to narrow differences over bonus increases.
The move comes as unionized workers have threatened to go on strike demanding higher performance-based bonuses.
Samsung Electronics Vice Chairman Jun Young-hyun and President Roh Tae-moon, both co-chief executive officers (CEOs) of the company, made the appeal on the company's internal bulletin board after management and the labor union failed to reach a compromise over higher bonuses.
The union earlier announced plans to stage an 18-day general strike from May 21 to June 7.
"Under the current challenging global business environment, all members of management will take a responsible approach to ensure that the company's future competitiveness is not weakened," they wrote. "We also ask employees to do their best in their respective roles so that our future competitiveness does not suffer."
The labor dispute at Samsung Electronics, the world's largest memory chip maker and Korea's most valuable company, has raised concerns that a walkout could disrupt production, and upend the semiconductor supply chain as well as hurt the broader economy as a whole.
Some estimates suggest the Korean tech giant could suffer up to 30 trillion won ($20.3 billion) in losses if the strike actually takes place.
Last month, Samsung Electronics posted an operating profit of 57.23 trillion won for the first quarter, up from 6.68 trillion won a year earlier, driven by strong demand for high-end memory chips used in artificial intelligence applications.
Earlier in the day, Labor Minister Kim Young-hoon urged Samsung Electronics management and the labor union to continue negotiations and reach a compromise to avert the worst-scenario case, while pledging government support for the talks.
Source: Korea Times News
