Union-proof Samsung faces twin labor flare-ups as Biologics joins chip unit unrest

by Kim Dong-young Posted : March 30, 2026, 13:30Updated : March 30, 2026, 13:30
Samsung Biologics headquarters in Songdo Incheon Courtesy of Samsung Biologics
Samsung Biologics headquarters in Songdo, Incheon/ Courtesy of Samsung Biologics
 
SEOUL, March 30 (AJP) -Samsung Group, long seen as union-proof, is facing back-to-back labor unrest as its biopharmaceutical arm Samsung Biologics moved toward its first-ever strike, joining a parallel standoff at Samsung Electronics.

The union at Samsung Biologics secured strike authorization with overwhelming support, marking the first such move since the company’s founding in 2011.

About 95.5 percent of 3,678 eligible voters backed industrial action after months of stalled wage negotiations, the union said Sunday.  The union represents roughly 3,689 workers, or about 75 percent of the company’s workforce.

Labor and management have held 13 rounds of talks without narrowing differences. The union is demanding an average 14 percent wage increase, a 30 million won ($19,846) one-time incentive per employee, performance bonuses equivalent to 20 percent of operating profit, and stock grants over three years.

Management has offered a 6.2 percent pay raise, citing alignment with compensation standards across major Samsung affiliates, including Samsung Electronics.

“We are willing to talk at any time if management brings an improved proposal — there is clearly room for compromise at a reasonable level,” union chairman Park Jae-sung said.

The standoff has raised concerns among industry observers, who warn that prolonged disruption could derail Samsung Biologics’ 15 trillion won ($10.8 billion) capacity expansion plan through 2034 and delay plant commissioning, at a time when global rivals Lonza and Fujifilm Diosynth are aggressively courting clients.

The union plans to begin informal talks once CEO John Rim returns from an overseas trip. Failing progress, workers are set to launch a full-scale general strike on May 1.

Samsung Electronics’ semiconductor workforce is locked in a parallel dispute. Its union — representing about 90,000 members — secured legal strike rights last month after 73.5 percent backed a walkout, and has warned of an 18-day general strike from May 21 to June 7 if negotiations over bonus reforms break down.

The prospect of simultaneous industrial action across two of Samsung’s most critical units is raising concerns over operational disruptions at a time when the group is navigating intensifying global competition and supply chain uncertainty.

At 1:30 p.m. Shares of Samsung Biologics were trading 4.05 percent down at 1,540,000 won ($1,018).