Samsung Electronics has proposed performance bonuses of 607% of annual salary for its memory chip division, compared to just 50-100% for its foundry and System LSI units, reflecting a stark profit divide that has intensified labor tensions. The union argues that the gap, approximately ₩500 million (approximately $333,831) for memory staff versus ₩80 million (approximately $53,413) for foundry workers crushes morale and fuels employee turnover. The two sides are also separated by roughly ₩100 trillion (approximately $66.8 billion) in their respective operating profit forecasts. The union has threatened an 18-day general strike starting May 21, which JPMorgan estimates could erase up to ₩31 trillion (approximately $20.7 billion) in operating profit. Vice Chairman Jun Young-hyun has urged executives to maintain unwavering management and a customer-first approach, while the company internally reiterated employees’ right to freely decide on strike participation.
https://finance.biggo.com/news/z41kL54BNl\_\_-4\_G9UaY
This is 607% of the workers' annual salary in bonuses, or 12% of annual profits expected this year.
The average annual salary for Samsung Electronics employees in South Korea is roughly 158 million won (approximately $115,000 to $118,000 USD depending on the current exchange rate), based on company business reports.
SK Hynix workers received 10% of annual profits, or 477K USD, 900K expected next year.
Samsung workers are asking for 15%, over 1 million USD next year, a removal of bonus caps, and more stock options.
Samsung Proposes 607% Bonus for Memory Unit, Up to 100% for Foundry, Sparking Union Revolt Over "Demotivating" Gap
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Posted by self-fix2
8 Comments
let’s hope the strike goes through. even more bullish for memory
The reason Samsung doesn’t want to concede is because it empowers workers all over Korea. Give them an inch and they ask for a yard next
just do the strike for the love of the game
Union be like – They don’t want to give us a bunch of money, so we’ll go on strike and cost them a bunch of money.
Hey look, now they don’t have any money to give you anyway, you’ve accomplished nothing.
What happens to dram?
Meanwhile in the U.S. we have massive layoffs.
god forbid record profits trickle down to the employees that made it possible
send in the pinkertons to break up the union