Samsung Electronics union declares indefinite strike amid wage dispute

[Photo by Kim Ho-young]

The labor union of Samsung Electronics Co. is applying more pressure on the company as it demands a 5.6 percent wage increase.

On Wednesday, the National Samsung Electronics Union (NSEU) declared it is entering an indefinite strike.

“Despite our initial strike, we have confirmed that the management has no willingness to engage in dialogue,” the NSEU said.

Initially, the union had planned a first strike from July 8-10, with a second strike scheduled for July 15-19. However, it has revised its strategy to apply more pressure on the company immediately.

The union’s final demands include guaranteeing one day of leave for union members to celebrate the union’s founding, a 3.5 percent increase in base pay, improvements to the overall performance incentive (OPI) system, and appropriate compensation for union members participating in the strike.

Essentially, the union is demanding wage compensation and financial restitution for economic losses incurred during the strike for its members, rather than for all Samsung Electronics employees.

This shift has diluted the original aim of a no-pay, no-work general strike. The NSEU represents 31,000 members, which is about 25 percent of Samsung Electronics’ entire workforce.

This latest move by the NSEU comes after they initially set their wage increase demand at a total of 5.6 percent, combining a 3.5 percent base pay increase with a 2.1 percent performance-related raise.

Previously, the Samsung Electronics labor-management council had agreed to a wage increase rate of 5.1 percent.