Samsung Electronics Says It Regrets Union's Decision to Break Off Talks, Calling It a Move That Causes Great Concern for Employees, Shareholders and the Public

[Financial News] As the Samsung Electronics union declared on the 13th that it was breaking off the government mediation process, Samsung Electronics said the union's decision was "an act that causes great concern and anxiety not only for the company, but also for employees waiting for a deal, as well as shareholders and the public."
In a statement on the 13th, Samsung Electronics said, "The post-mediation effort that the government worked hard to arrange has unfortunately fallen through because the union declared a breakdown."
Samsung Electronics labor and management had been holding the second post-mediation meeting for the 2026 wage agreement at the National Labor Relations Commission in Government Complex Sejong since the 12th. However, even after 17 hours of discussions from 10 a.m. on the 12th until 3 a.m. the next day, they failed to reach an agreement. Choi Seung-ho, chair of the Samsung Electronics Branch of the Super-Enterprise Union, the company's largest union, met with reporters after the meeting ended early that morning and said, "We asked for a mediation proposal because the gap between labor and management did not narrow. We waited, but the proposal was actually a step backward. The post-mediation process has now been declared a final breakdown."
The company said, "The government supported the talks by presenting various alternatives based on the arguments of both sides, but the union declared a breakdown early this morning," adding that it was "deeply regrettable." It continued, "The union has consistently rejected the company's flexible systemization based on business performance and has insisted only on rigid systemization. The company will continue making efforts until the very end to prevent the worst-case scenario through sincere dialogue. Finally, we thank the government and all those involved for their efforts to mediate."
Samsung Electronics labor and management had failed to reach an agreement during mediation by the National Labor Relations Commission in February and March, leading to a suspension of the mediation process. They resumed negotiations through the post-mediation procedure on an agenda spanning two days from the 11th, but were unable to find common ground. The commission explained after the mediation meeting, "The gap between the two sides' positions is wide, and the union requested that post-mediation be halted, so we decided not to present a proposal and to end this round of post-mediation. If both sides agree and request additional post-mediation, we can support it at any time."
While back-channel talks are expected to continue, eight days remain until the general strike that the union has warned it will launch if the talks collapse. For now, the union plans to focus on responding to the company's request for an injunction to ban illegal strike activity. Suwon District Court will hold a second hearing at 10 a.m. on the injunction request filed by the company last month. If the court grants the injunction, it is expected to affect the actual scale and method of the strike.
Regarding this, Choi said, "We have no intention of engaging in illegal industrial action. We will proceed lawfully and properly," adding, "Since we are following the legal procedures for industrial action, I do not think there will be any problem. If the company brings a proper proposal, we are willing to listen."
Meanwhile, if the planned general strike becomes a reality, losses could exceed 40 trillion won due to factory shutdowns and other disruptions.

soup@fnnews.com Im Su-bin Reporter