Seoul Shares Rally over 8 Pct on Tech Gains After Samsung Wage Deal, Nvidia Outlook; Won Rises
The deal would give workers a special semiconductor bonus equal to 10.5% of business performance earnings and still needs a union vote.
- Late Wednesday, Samsung Electronics reached a tentative wage deal with its labor union, averting an 18-day strike scheduled to begin Thursday; the agreement includes wage increases and special bonuses paid partly in company stock over 10 years.
- Anger flared over how Samsung Electronics distributes massive profits, prompting around 50,500 workers to prepare for a walkout as union members argued rival SK hynix offered larger bonuses.
- The Korea Shareholder Action Headquarters staged a rally Thursday near the residence of Samsung Electronics Chairman Lee Jae-yong, claiming the deal lacks "legal validity" because it bypassed required shareholder resolution procedures.
- Vowing to "use all legal means available," the group intends to block any company fund disbursement and plans to file a lawsuit seeking nullification if a board resolution is proposed.
- Union members are set to vote on the tentative agreement from Friday through Wednesday, while the shareholder group demanded the union publicly announce it will not strike if the deal fails to pass.
16 Articles
16 Articles
Channel News Asia
Samsung shareholders vow legal action over tentative union deal
SEOUL: A group of Samsung Electronics shareholders on Thursday (May 21) vowed legal action against a tentative deal between the South Korean chip giant and its largest labour union that averted a major strike.The last-minute agreement on bonuses - which union members will vote on - was struck late Wednesday,
Shareholder group warns of legal action against Samsung labor-management agreement; holds protest rally in front of Chairman Lee Jae-yong's house; claims performance bonus calculation before tax deduction is illegal and infringes on property rights that should belong to shareholders. Shareholders invest while assuming the risk of loss, so what risk do employees bear who receive their salaries regularly regardless of whether the company runs at a…
Seoul shares rally over 8 pct on tech gains after Samsung wage deal, Nvidia outlook; won rises
South Korean stocks spiked more than 8 percent Thursday on tech gains, after Samsung Electronics averted a strike and strong earnings from Nvidia boosted investor sentiment.
Samsung Electronics Shareholder Group: "Tentative Agreement Illegal... Seeking Injunction to Nullify Ratification"
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