People walk into Samsung Electronics' office in Seocho District, Seoul, Wednesday. Yonhap
More than 70 percent of Samsung Electronics’ labor union members on Wednesday approved a tentative wage agreement reached between union leaders and management, bringing a months-long dispute over performance bonuses to a close, at least for now.
According to the unions, among 57,332 eligible members of the Samsung Electronics Labor Union, 55,333 participated in the vote, with 44,606 voting in favor of the agreement, for an approval rate of 80.6 percent. At the National Samsung Electronics Union, 7,283 out of 8,261 members cast ballots, with 1,536 approving the agreement, translating to an approval rate of 21.1 percent. The combined approval rate stood at 73.7 percent, surpassing the majority threshold required for ratification.
The tentative agreement was signed on May 20, just hours before the unions had been set to stage a general strike on the following day. Voting on the agreement was conducted from May 22 to 27.
The agreement centers on a special management performance bonus offered exclusively to employees in the chip-making Device Solutions division. Under the agreement, the bonus will be funded with 10.5 percent of the company’s operating profit and paid out in treasury shares.
