With a large rally by a Samsung Electronics labor union set for the next day, Lee Chan-hee, chairman of Samsung’s Compliance Monitoring Committee, urged caution, saying Samsung is viewed not simply as a private company but as a “national company.” He said many people are directly and indirectly connected to the company, including shareholders and investors, and the union should act more carefully.
Lee made the remarks on April 21 before a regular meeting of the committee’s fourth term at Samsung Life Insurance’s Seocho building in Seoul. He said he hopes the labor-management conflict, which Samsung is facing for the first time, will be resolved “rationally and in an exemplary way” befitting the company’s standing.
Samsung Electronics and the union remain deadlocked over wage talks, including a demand to remove the cap on performance bonuses, and negotiations have been suspended. Management proposed compensation that could exceed the cap on excess profit incentive pay, or OPI, through special rewards if the Device Solutions, or DS, division that runs the semiconductor business achieves the industry’s No. 1 position in South Korea. The union is demanding distribution of 15% of operating profit.
The union plans to hold a large rally on April 23 at the company’s Pyeongtaek campus in Gyeonggi province and then strike from May 21 to June 7. The union claims a strike could cause losses of 20 trillion won to 30 trillion won if it leads to disruptions such as semiconductor line shutdowns.
The company has asked a court for an injunction to bar what it calls illegal labor actions, citing the possibility of unlawful acts such as occupying worksites. A decision is expected soon.
On the escalating dispute, Lee said reaching agreement through dialogue is most important, adding it was regrettable that the situation left room for the matter to move into criminal procedures. He said he agrees workers’ rights should be better protected, but added that human rights among workers should also be treated as a basic right.
He said the union has not entered an illegal stage so far and added the committee is monitoring the situation to prevent any crackdown or violence driven by unlawful intent.
The fourth-term committee, launched in February, has strengthened expertise in labor-management issues. It appointed Kim Kyung-sun, a labor and women’s policy expert, and Lee Kyung-mook, an expert in corporate organization and human resources management, as new members.
Lee said the committee reorganized its labor subcommittee into a “Labor Rights Subcommittee” to match the expanded expertise. He said it will consult with a labor-management advisory group and set the committee’s direction based on expert advice.
Lee also addressed prosecutors’ recent investigation into suspected insider trading involving Samsung Electronics and Rainbow Robotics. He said it is difficult to comment because the case is under investigation, but added the committee has reviewed the matter through affiliates.
Prosecutors are investigating allegations that employees engaged in insider trading during Samsung Electronics’ acquisition of a stake in Rainbow Robotics. Last month, the Seoul Southern District Prosecutors’ Office’s joint financial and securities crime unit conducted searches and seizures at Samsung Electronics’ headquarters in Suwon, Gyeonggi province, and Rainbow Robotics’ headquarters in Yuseong-gu, Daejeon. Homes of employees at both companies who are subject to the probe were also included in the searches.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.