Samsung union threatens firsts strike in tech giant’s history

Samsung is going through a testing time with revenue slumping resulting from weak demand for its reminiscence chips.

SeongJoon Cho | Bloomberg | Getty Photos

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

The Nationwide Samsung Electronics Union claims that Samsung administration has minimize 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 outdoors one among Samsung’s buildings in Seoul and demanded the tech large’s Chairman Lee Jae-yong be a part of the discussions.

Lee Hyun-kuk, a consultant of the union, mentioned it could go on strike after a session with its members however mentioned it relies on the “angle” of Samsung Chair Lee, and his willingness to barter, in keeping with native media stories that have been posted on the union’s web site.

“It relies on the angle of chairman Lee Jae-yong. We sincerely ask him to return to the desk for talks,” the NSEU’s Lee mentioned, in keeping with Bloomberg.

Samsung was not instantly accessible for remark when contacted by CNBC.

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

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

The union is asking for a 6% wage enhance for staff. Samsung administration mentioned final month it could enhance wages by round 4%, in keeping with the union.

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