Choi Seung-ho Says He Is Reviewing Separate Bargaining for DS and DX Divisions ... Is Samsung Electronics' Union Splitting Apart? [Samsung Electronics Union Tentative Agreement Approved]

Samsung Electronics management and labor have wrapped up this year's wage negotiations after intense conflict, but internal tensions over bonus gaps between the semiconductor and finished-goods divisions are being described as only "the beginning."
In particular, the Samsung Electronics labor camp, which had united this year to build a majority union structure for the first time since the company's founding, is now showing clear signs of division following the tentative agreement. That has raised the possibility that the union landscape could split along business division lines.
■ Review of separate bargaining amid union infighting
According to industry sources on the 27th, Choi Seung-ho, chairman of the Samsung Group supra-enterprise labor union, said he is internally reviewing a plan to separate bargaining for the Device Solutions (DS) Division and the Device eXperience (DX) Division.
The Samsung Group supra-enterprise labor union is the largest union and secured majority-union status for the first time since Samsung Electronics was founded this year. Until now, the National Samsung Electronics Union, which had been the largest among the five unions, had led negotiations. This year, however, dissatisfaction over bonus distribution, fueled by the semiconductor boom, shook the multi-union system.
By early this year, the supra-enterprise union had surged from only a few thousand members at the end of last year to tens of thousands. Under the Labor Standards Act, a majority union gains the status of bargaining representative and holds sole collective bargaining rights. This year's talks were also conducted by a joint bargaining team formed by the multi-union bloc, led by the supra-enterprise union.
But after six months of wrangling, the labor-management agreement tilted in favor of members in the DS Division, a core constituency of the supra-enterprise union, triggering a labor-versus-labor backlash. The Donghaeng Labor Union, made up mostly of DX Division members, withdrew from the joint bargaining team and even filed legal action against the supra-enterprise union. The joint bargaining team's tentative agreement was approved with 73.7% support, but Donghaeng Labor Union's own vote, in which it was not granted voting rights, showed 99.4% opposition, or 8,908 votes, underscoring the sharp divide between divisions.
Against this backdrop, Choi's remarks that separate bargaining is under review appear to reflect the view that a single bargaining structure, as used this year, makes it difficult to reflect the interests of all divisions.
■ DS and DX leaders move to calm tensions
There are also significant internal disagreements over the separate-bargaining discussion raised by the supra-enterprise union. The National Samsung Electronics Union issued a statement on the matter, saying, "If the bargaining structure starts to split based on short-term performance and division-specific interests, our ability to support one another in times of crisis will inevitably weaken." It added, "Separate bargaining carries a high risk of reinforcing the company-side logic of allocating resources by division, which is what management wants."
Amid the union infighting, members who had rallied around the supra-enterprise union are also leaving, adding another variable. Within the union, there is already a growing wave of departures led by members from non-semiconductor divisions. Even within the DS Division, employees in non-memory businesses such as foundry and the Samsung System LSI Division, where bonus payouts are relatively smaller, are reportedly growing more dissatisfied.
By contrast, the Donghaeng Labor Union, which is led mainly by DX employees, is growing rapidly. The union had around 2,000 members as of last month, but that number had risen to 15,528 as of 3:57 p.m. on the day of the report. Industry observers say this suggests a move toward an independent DX-based bloc is gaining momentum.
As division-level tensions grew, the heads of the two major divisions also stepped in to reassure employees. Jun Young-hyun, head of the DS Division and vice chairman, said in a message to DS employees that day, "I know that a considerable number of employees are feeling disappointed." He added, "I will listen more closely to voices from the field and take the lead in working through the challenges with everyone so we can restore competitiveness in each division and find a breakthrough for future growth."
Roh Tae-moon, head of the DX Division and CEO, also sent a message to employees the same day. He said, "As differences in business conditions and industry trends are leading to different outcomes across divisions, I feel both regret and a strong sense of responsibility as the head of the division, and I am taking the current reality facing the DX Division seriously." He added, "Going forward, I will approach the task of restoring the DX Division's competitiveness and creating a new growth trajectory with even greater seriousness."
Choi also signaled that he would improve the communication channel for the DX Division. After the wage agreement signing ceremony that day, he said, "I will replace the representative in charge of bargaining for the DX Division." He added, "I plan to discuss sending the secretary general back to the field." He also said, "We will reorganize the DX Division leadership so it can focus exclusively on the DX Division."
one1@fnnews.com Jung Won-il Reporter