Samsung Electronics to sign its first-ever collective bargaining agreement with unions

[Photo by MK DB]

Samsung Electronics is set to sign its first-ever wage agreement with a group of internal labor unions after 10 months of collective bargaining.

The four labor unions of Samsung Electronics on Monday reached a tentative agreement on 2021-2022 collective bargaining with the management, according to the South Korean tech giant.

The company¡¯s unionized workers and the management began their collective bargaining for the year 2021 in October 2021 but decided to include their negotiation for the year 2022 as talks extended.

Under the final agreement, the company will raise wages by 7.5 percent for 2021 and 9 percent for 2022, as the labor union accepted the proposal made by the management. The company will compensate for unused paid holidays as well as increase payout to those working on holidays.

Their collective bargaining agreement is to be signed on Wednesday. It would be the first collective bargaining agreement in the tech giant¡¯s 53-year corporate history.

On Monday, Samsung Electronics shares are trading 0.81 percent lower at 61,000 won ($46.75), as of 12:21 p.m. in Seoul

[¨Ï Maeil Business Newspaper & mk.co.kr, All rights reserved]