Samsung Electronics is in critical negotiations with its largest labor union to avert an 18-day strike starting May 21, which could severely impact global semiconductor production. The dispute centers on demands for performance-based bonuses and wage transparency, with union leaders seeking 15% of operating profits for bonuses and the removal of payout caps. The strike could cost Samsung approximately ₩1 trillion ($670 million) daily, with potential cumulative damages reaching ₩30 trillion ($20 billion) if it proceeds.
Samsung has filed for an injunction to block the strike, with a court decision expected before the deadline. The South Korean government is also considering intervention due to the strike's potential economic impact. Samsung's share price has already fallen 9.3% amid these concerns, reflecting market anxiety over the possible disruption in the semiconductor supply chain.
Samsung Faces Potential 18-Day Strike Threatening Global Chip Supply
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