Samsung union threatens first strike in company’s history as pressure mounts after profit plunge

An influential Samsung Electronics employees union on Thursday warned that its members might stroll out over a wage dispute in what might be the South Korean tech big’s first strike in its historical past.

The National Samsung Electronics Union claims that Samsung administration has reduce the union out of wage negotiations.

The NSEU, which says it represents round 10,000 workers, or round 9% of workers, staged a press convention exterior one among Samsung’s buildings in Seoul and demanded the tech big’s Chairman Lee Jae-yong be part of the discussions.

Lee Hyun-kuk, a consultant of the union, stated it will go on strike after a session with its members however stated it is dependent upon the “attitude” of Samsung Chair Lee, and his willingness to barter, in line with native media reviews that have been posted on the union’s web site.

“It depends on the attitude of chairman Lee Jae-yong. We sincerely ask him to come to the table for talks,” the NSEU’s Lee stated, in line with Bloomberg.

A Samsung spokesperson stated that “the company has diligently followed all relevant and related procedures, and will continue to hold discussions with the union.'”

If the walkout goes forward, it will be the primary strike for the reason that founding of Samsung Electronics in 1969. Samsung Electronics encompasses Samsung’s client {hardware}, semiconductor, show and cellular provider companies.

Tension with employees comes at a delicate time for the world’s largest smartphone and reminiscence chip maker, after its working revenue within the first quarter plunged to its lowest stage since 2009. Samsung has been harm by falling costs and demand for its reminiscence chips, which is its largest revenue driver.

The union is asking for a 6% wage enhance for employees. Samsung administration stated final month it will enhance wages by round 4%, in line with the union.