Samsung Electronics reached a tentative labor agreement to avert a major semiconductor strike. The deal introduces a special management performance bonus tied to semiconductor operating profits.
Memory chip division employees could receive average bonuses of 600 million won ($440,000). Device eXperience division employees, who manufacture smartphones, TVs, and home appliances, may receive 6 million won ($4,400). This creates a 100-fold disparity between the two business units.
Non-chip unions pledged to fight the agreement to protest the pay gap. Workers argue the deal ignores their historical contributions during semiconductor market downturns.