Workers at Samsung Electronics in South Korea went on strike Friday, June 7, 2024, marking the first labor walkout in the company’s 55-year history.
The Nationwide Samsung Electronics Union (NSEU) said about 28,000 members, nearly a quarter of the company’s domestic workforce, participated in the one-day strike following unsuccessful negotiations over pay and bonuses .
Son Woomok, a union leader, said, “Many employees used their annual leave today. At one site, all workers had taken leave so replacement personnel were deployed.” He emphasized that many NSEU members are employed in Samsung’s flagship semiconductor unit . This division has struggled to maintain its competitive edge in the semiconductor market, recently lagging behind SK Hynix and Micron Technology in AI chip production .
A Samsung spokesperson claimed that the strike had “no impact on production and management activities,” noting that the rate of annual leave use was lower than during last year’s Memorial Day holiday .
The walkout comes amid a turbulent period for Samsung, which faced a computer chip shortage during the COVID-19 pandemic, followed by a slump in consumer electronics demand due to global economic uncertainties. However, Samsung is optimistic about the future, anticipating a boost in mobile device demand and reporting a significant increase in first-quarter operating profit due to the AI boom .
