Choi Seung-ho, chair of Samsung’s enterprise union: “Bonus agreement reached through labor-management autonomy”

[Financial News] Choi Seung-ho, chair of the Samsung Group Enterprise Labor Union Samsung Electronics Branch, said this year’s Samsung Electronics performance-bonus agreement was reached autonomously after lengthy negotiations between labor and management. Regarding the Honam semiconductor project, he said concerns over changes to union members’ working conditions needed to be addressed.
Choi appeared as a witness at the National Assembly Trade, Industry, Energy, SMEs and Startups Committee’s audit on the 6th and gave these answers.
Asked what he thought of Ministry of Employment and Labor guidelines stating that performance bonuses linked to corporate profits cannot be subject to strikes, Choi said, “I’m aware of the guidelines, but I think the distribution of a company’s performance is something labor and management can discuss fully in negotiations.”
Asked whether the labor-management agreement reached last May remained valid in light of the Ministry of Employment and Labor guidelines, he replied, “It was an agreement reached autonomously by labor and management.”
Choi also responded to claims that the union had used a strike as a bargaining tool, explaining that negotiations had not proceeded on the premise of a strike. He said the agreement was finalized autonomously by labor and management after lengthy negotiations lasting five to six months, in accordance with legal procedures.
He was also asked about the performance-bonus gap between the DS Division, which oversees the semiconductor business, and the DX Division, which handles home appliances and smartphones. Choi said they had reached an agreement through joint negotiations and proper procedures, and had also discussed the DX Division’s business difficulties.
Responding to claims that the DX Division had been left out of the gains from negotiations, he said, “One of the things we demanded this time was greater transparency in performance bonuses,” adding, “We reached an agreement that would allow the system to be changed in the DX Division as well.”
Asked about wage increases and job retention in 2023, when the DS Division posted a loss, he explained that no performance bonuses were paid that year because of the losses. The point, he said, was that performance bonuses, which are paid when there are positive results, should be distinguished from base pay.
Choi said, “Performance bonuses are paid when there are positive results, while wages and base pay are somewhat different,” adding, “As Samsung Electronics’ largest labor union, we will consider things carefully and prepare for the 2027 negotiations.”
On the union’s position regarding the Honam semiconductor project, he emphasized concerns about members’ working conditions. Choi explained that the project could bring changes to working conditions, so those concerns needed to be addressed.
He also added that he would improve transparency in the union’s operations. Choi said, “Going forward, we will establish proper standards and procedures for the union’s internal operations.”
[email protected] Park Ji-yeon Reporter