Hanoi:<Text>

President Lee Jae Myung's policy chief on Thursday expressed hope that Samsung Electronics and its labor union will resolve their standoff over compensation through dialogue, as workers rallied to demand higher bonuses and warned of a possible strike.

According to Yonhap News Agency, Kim Yong-beom, presidential chief of policy, made the remarks when asked whether the government could step in to mediate if a strike occurs, which could disrupt Samsung's semiconductor production and deal a blow to South Korea's most valuable company. Kim emphasized the importance of dialogue, stating, "We hope (the issue) will be resolved smoothly through dialogue." He further noted that the situation had not escalated to extreme confrontation and expressed optimism for a resolution without major difficulties.

Earlier in the day, approximately 40,000 Samsung Electronics workers gathered at the company's semiconductor plant in Pyeongtaek, south of Seoul, demanding a significant increase in performance-based bonuses in light of strong chip profits. The labor union is advocating for increased bonuses and the removal of caps on incentive payments, warning of an 18-day strike starting May 21 if their demands go unmet.