Samsung workers go ahead with 18-day strike as bonus talks collapse

South Korean chipmaker Samsung Electronics’ trade union said on Wednesday it will launch a planned 18-day strike after talks with management collapsed over a dispute on bonus payouts.

“Around 10pm on May 19, the labour union agreed to the mediation proposal put forward by the National Labour Relations Commission; however, management expressed its refusal,” it said in a statement, adding that it would begin striking on Thursday.

“The labour union will lawfully commence a general strike tomorrow as scheduled.”

Samsung union leader Choi Seung-ho said on Tuesday ⁠that the union was steadfast ⁠in its demand that changes in Samsung’s bonus schemes be formalised beyond one year.

The union has also demanded Samsung abolish a ‌cap on bonuses that stands at 50 per cent of annual salaries and allocate 15 per cent of annual operating profit to bonuses.

Samsung has proposed that memory ‌chip workers ‌receive one-off bonuses this year that would top those of SK Hynix employees, while the bonus cap ‌would stay in place.