Employees at Samsung Electronics in South Korea staged the first strike to protest wages and benefits at the company on Friday, says the head of a major union representing tens of thousands of people.
Samsung Electronics stands out as a global leader in both smartphone production and cutting-edge memory chips that power advanced technologies like artificial intelligence. They supply these chips to top AI hardware companies like Nvidia.
Since January, Samsung management (the world's top memory chip producer) has been negotiating with the union regarding pay and benefits but hasn't been able to reach an agreement.
Lee Hyun-kuk, vice president of the National Samsung Electronic Union, downplayed the strike's immediate impact but emphasised it as a starting point for future actions.
Meanwhile, he informed reporters that they have plans for follow-up strikes if the management is not willing to communicate with them openly.
It was gathered that the union is demanding a raise, more vacation days, and fairer bonuses, but Samsung offered a 5.1% pay increase, and the union wants more.
Lee said the strike won't affect production since it involves headquarters staff. It's a significant event because Samsung has long resisted unions.
