A Samsung Group flag flutters in the wind at the headquarters of Samsung Electronics in Seocho-gu, Seoul./Courtesy of News1

The Central Labor Relations Commission on the 14th formally asked labor and management at Samsung Electronics to resume negotiations on wages and performance bonuses.

That day, the commission proposed resuming a post-mediation meeting on the 16th for Samsung Electronics labor and management. Post-mediation is a procedure in which the commission, as a mediator, coordinates both sides after labor-management talks break down. The commission said it "recommended a request for a second post-mediation meeting as a venue for sincere dialogue and substantive bargaining between labor and management once again to autonomously resolve the differences between them."

Labor and management at Samsung Electronics held post-mediation meetings from the 11th to the 13th. As differences could not be narrowed in the process, at 2:50 a.m. on the 13th the union asked to halt post-mediation. Because of this, the post-mediation that continued into the early morning hours collapsed.

At the time, Choi Seung-ho, chairperson of the supra-enterprise labor union's Samsung Electronics chapter (hereafter the supra-enterprise union), met with reporters immediately after the post-mediation collapsed and said, "The commission's mediation plan has actually regressed compared with the union's demands."

The commission's mediation plan is said to include maintaining the performance bonus cap at 50% of annual salary while paying a special management performance bonus to the Device Solutions (DS) institutional sector, which handles semiconductors, funded by 12% of operating profit. The union is demanding the abolition of the performance bonus cap and that 15% of operating profit be used as the performance bonus pool.

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