Minority union at Samsung Electronics to challenge pay deal in court

A minority labour union at Samsung Electronics representing its consumer electronics workers will ask a South Korean court to suspend the implementation of a pay deal that primarily benefits employees in the chip division, a lawyer said.

Two other unions at the world’s largest memory chip and TV maker, including its biggest union, voted this week to approve a pay deal that provides huge bonuses for workers in Samsung’s memory chip division, whose profits have soared amid the AI boom.

The Samsung Electronics Co Union (SECU), which has about 13,000 members mostly from the company’s smartphone, TV and home appliances divisions, had initially filed an injunction to suspend the vote.

The approval of the 11th-hour government-mediated agreement averted a planned 18-day strike, but meant some employees outside the chip division did not fare as well.

Now that the vote has passed, SECU will ask the court to suspend the implementation of the pay deal, a lawyer for the union said in a court hearing on Friday.

Legal counsel for SECU said they would submit revised documents next week and expect a court ruling within a month.

A spokesperson for Samsung Electronics’ biggest union declined to comment. The company was not immediately available for comment.

Reuters

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