Samsung Electronics union warns of W30tr strike losses after securing majority status

Samsung Electronics’ largest labor union has secured majority status for the first time and warned Friday that a planned general strike could inflict losses of up to 30 trillion won ($20.3 billion).

The Samsung Electronics Labor Union said it has been officially recognized as the representative body after surpassing a majority of employees. With about 74,000 members, the union now holds strengthened bargaining power.

A mass rally is scheduled for April 23 at the company’s Pyeongtaek campus in Gyeonggi Province, followed by an 18-day strike from May 21 to June 7.

Speaking outside Samsung’s Seocho office in Seoul, union leader Choi Seung-ho said 30,000 to 40,000 members are expected to attend the rally.

“If the strike continues for 18 days, losses could reach between 20 trillion won and 30 trillion won, even taking into account facility backup,” Choi said.

That would translate into roughly 1 trillion won in daily losses if production is disrupted.

Negotiations between the two sides have been at a standstill since late last month, when the union suspended talks.

At the center of the dispute is compensation. The union has demanded the removal of caps on performance-based bonuses and greater transparency in the system.

“The company has continued to respond with one-off measures rather than engaging in meaningful negotiations,” Choi said. “It should come forward with concrete proposals and apologize for the lack of progress in talks.”

The union described the planned strike as “an unavoidable choice,” dismissing concerns that it could weigh on the broader economy.

It also pointed to a recent outflow of workers, saying more than 200 employees moved to SK hynix over the past four months, which it attributed to what it called an abnormal compensation structure.

The union rejected criticism that its demands could undermine shareholder returns, arguing that securing talent ultimately enhances corporate value.

At the same time, it stressed that it would not engage in unlawful actions.

“We plan to proceed with a legitimate strike based on legal reviews,” Choi said.

Samsung Electronics has taken preemptive legal steps. The company filed for an injunction with the Suwon District Court on Thursday to block illegal strike actions, including the occupation of production facilities.

The company said the move is intended to prevent disruptions, not to restrict constitutionally protected labor rights.

Under South Korean law, some actions are prohibited during strikes, including interference with safety facilities, suspension of work needed to prevent equipment damage or product deterioration, and occupation of key production sites.