SEOUL, South Korea (AFP) — A group of Samsung Electronics shareholders on Thursday vowed legal action against a tentative deal between the South Korean chip giant and its largest labor union that averted a major strike.
The last-minute agreement on bonuses — which union members will vote on — was struck late Wednesday, with plans for an 18-day strike from Thursday put on hold until further notice.
The dispute takes place against the backdrop of a global artificial intelligence boom that has turbocharged Samsung’s business, while boosting national growth and the stock market.
Around 50,500 workers had been set to walk off production lines as anger flared over how the company distributes its massive profits.
Under the tentative deal between Samsung and its union, wages will rise and special bonuses will partly be paid in company stock over 10 years.
That is conditional on the chip division achieving more than 200 trillion won (US$130 billion) in operating profit each year between 2026 and 2028, then 100 trillion won until 2035.
The Korea Shareholder Action Headquarters, a shareholders’ group, on Thursday staged a rally protesting the deal, near the residence of Samsung Electronics chairman Lee Jae-yong.
Negotiations over operating profit-linked bonuses were not passed in a shareholders’ resolution, and therefore have no “legal validity” under the current commercial act, they said.
The group vowed to “use all legal means available” to “block any company fund disbursement” based on the deal if it is concluded by “bypassing” these required procedures.
