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Samsung Electronics managed to avoid a large-scale strike after the trade union agreed to an agreement that guarantees huge annual bonuses. The agreement benefits about 78,000 employees, with bonuses estimated at about $370,000 per worker based on the company's expected profits.
Samsung Electronics succeeded in avoiding an 18-day strike after the company's management reached a historic agreement with the labor union that guarantees exceptional annual bonuses for employees. The results of the six-day electronic vote showed that more than 73% of the members of Samsung's largest trade union agreed to the agreement with the management, the union announced in an official statement. The new agreement includes about 78 thousand Of the 125,000 local workers in the company, the annual bonus per employee is estimated at $370,000, based on market expectations of the company's operating profit. This agreement came in light of the exceptional boom in the chip industry, especially with the increasing global demand for memory chips necessary for the operation of artificial intelligence data centers, which greatly enhanced Samsung's profits. Company figures reveal staggering growth in Financial performance, as operating profit in the first quarter increased by nearly 750% compared to the previous year, and the company's market capitalization exceeded $1 trillion for the first time this month. According to the terms of the ten-year agreement linked to ambitious performance targets, workers in the semiconductor division will receive annual bonuses equivalent to 10.5% of operating profits in the form of shares, in addition to 1.5% in cash.
Source: Al-Wehda Al-Arabia News Portal
