Seoul: Samsung Electronics Co.'s largest labor union announced plans to hold a confidence vote on its chief union leader, Choi Seung-ho, following backlash over a recent wage agreement with management. The vote is set to begin next Wednesday and will continue for one week, with the motion passing if it gains support from more than half of the participating union members.
According to Yonhap News Agency, the wage agreement reached in May includes a special semiconductor performance bonus equivalent to 10.5 percent of business performance earnings. These bonuses will be distributed in company stock over a minimum period of 10 years and will be linked to performance targets for the chip division.
Dissatisfaction with the distribution of performance-based bonuses has led to an exodus of union members, as many workers claim the deal primarily benefits semiconductor business employees. The union, which once boasted over 76,000 members during wage negotiations, has seen its numbers dwindle, losing its majority union status due to declining membership.
As of 8 a.m. Wednesday, the union's membership stood at 56,450, reflecting the ongoing discontent among employees over the wage agreement.