Samsung Engineering Union Files Dispute Mediation Request... "Basic 5.5% Increase"

Labor and Management, Parallel Lines on '5.5% vs 2%' Increase

The Samsung Engineering Labor Union announced that it will proceed with dispute procedures amid difficulties in labor-management wage negotiations.

On the 10th, the Samsung Engineering Labor Union &U (NU), affiliated with the Korean Metal Workers' Federation, stated that the union applied for labor dispute mediation at the Central Labor Relations Commission on the same day.

The union requested wage negotiations with the company on December 12 last year. The first meeting was held on December 28. The first formal negotiation began on January 18.

There was a significant gap between the labor and management positions. The union said that despite holding a total of 16 wage negotiation sessions by the 10th, they concluded that no agreement could be reached. Ultimately, at the 16th negotiation session, they declared the wage negotiations failed and applied for labor dispute mediation at the Central Labor Relations Commission on the same day.

When the Central Labor Relations Commission receives a labor dispute mediation application, it forms a mediation committee and attempts to mediate between both parties for 10 days. If the gap between labor and management positions is not narrowed, the commission decides to suspend mediation. Afterward, the union can secure the legal right to strike through a member vote.

The union demanded a 5.5% increase in base salary, 3 days of refresh leave, and an upward adjustment of the pay zone.

The main issue is wages. The union stated, "Last year, operating profit was 703 billion KRW, an increase of about 40% compared to the year before last," and added, "The company insists on a 2.0% base salary increase, which does not even meet the inflation rate."

The union claimed that the company is following Samsung Electronics' policy. The union said, "Samsung Engineering achieved its best-ever performance since the management crisis in 2013," and criticized, "It is wrong for the company to be influenced by affiliated companies during wage negotiations." They added, "If mediation at the Central Labor Relations Commission fails, we will push for full-scale collective action."

In response, the company expressed that it will sincerely follow the dispute mediation procedures. A Samsung Engineering official said, "The company plans to earnestly participate in the mediation process," and added, "We will continue to communicate with the union and strive to reach a smooth agreement."

This content was produced with the assistance of AI translation services.