The labor union at Samsung Biologics (207940) is escalating pressure on management with a rally at the company's plant ahead of a second general strike set for later this month. Three rounds of post-mediation talks have failed to narrow differences over wages and personnel systems, leaving the dispute unresolved.
The Samsung Biologics Sangsaeng Labor Union said on the 16th that it will hold a rally during the lunch hour on the 21st in front of Gate 1 at the company's plant in Songdo, Incheon. The union notified authorities of a gathering of 2,000 people. Following the rally, the union plans to begin a second general strike on the 26th, lasting three weeks.
The main points of contention are the base pay increase and the criteria for performance bonuses. The company has offered a 6.2% increase in base pay along with a lump-sum payment, while the union is demanding a 9.5% increase and performance bonuses equivalent to 15% of operating profit. The union's demands also include improvements to personnel systems and greater transparency in the exercise of management authority, according to sources.
The union said it refrained from collective action while the post-mediation process was underway and continued negotiating, but that the company failed to put forward substantive proposals needed to reach an agreement. It said it would therefore step up collective action in stages, culminating in a general strike.
The dispute dates back to this spring. After mediation broke down on March 23, the union staged a partial walkout in late April and held its first general strike from May 1 to 5. It then continued a work-to-rule campaign by refusing overtime and holiday shifts. Labor and management agreed to post-mediation talks and held their first session at the Incheon Regional Labor Relations Commission on the 8th of last month, meeting three times in search of common ground without reaching a settlement.
Samsung Biologics said, "The company will continue to keep channels of dialogue open with the union, while ensuring stable operations and thorough safety management at the plant in connection with rallies and other collective action."