Samsung Electronics Union Splits Between Chip and Device Divisions

Samsung Group Cho-Gieop Union, a trans-enterprise union open to workers across Samsung Group affiliates, realigns around chip division amid escalating infighting DX division members effectively cut loose Rival Donghaeng union clashes over next leadership election Union-versus-union strife widens after bonus deal

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By Koo Kyung-woobluesquare@sedaily.com
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Members of the Samsung Electronics Donghaeng Union, made up mainly of employees in the company's non-semiconductor DX division, walk to the Suwon District Court on May 26 to file an injunction request seeking to halt a vote on a tentative agreement in the 2026 wage negotiations. Suwon — News1 - Seoul Economic Daily Finance News from South Korea
Members of the Samsung Electronics Donghaeng Union, made up mainly of employees in the company's non-semiconductor DX division, walk to the Suwon District Court on May 26 to file an injunction request seeking to halt a vote on a tentative agreement in the 2026 wage negotiations. Suwon — News1

The labor union at Samsung Electronics (005930) has effectively split along the lines of its Device Solutions (DS) division, which handles semiconductors, and its Device eXperience (DX) division, which handles finished products. Even after an agreement to set performance bonuses at 10% of operating profit, disputes over organizational management, bonus distribution and leadership have persisted, leaving both of the company's two main unions mired in internal conflict.

According to the results of the fifth general meeting of 2026, announced on the 19th by the Samsung Electronics branch of Samsung Group's cross-affiliate union (known as the Cho-Gieop Union), a revision to the union charter limiting membership to employees of the DS division passed with 96.3% in favor.

Of 51,350 eligible voters, 28,680 took part, with 27,618 voting in favor. As a result, the Cho-Gieop Union, which previously covered members from both the DS and DX divisions, will be reorganized around the DS division. Members belonging to the DX division are expected to be removed from the union under the revised charter.

Motions of no confidence against leaders from the DX division also passed by overwhelming margins. The motion against Vice Chair Lee Song-yi passed with 95.7% in favor, and the motion against Gwangju chapter head Lee Won-il passed with 96.2%.

Internal conflict within the Cho-Gieop Union came to a head over how to allocate bonus funds and the direction of organizational management. After differing with other unions over the integrated distribution of bonuses drawn from company-wide funds during this year's wage and collective bargaining talks, the union said it would not consider joint bargaining next year and would instead reorganize around the DS division.

The infighting deepened as a dispute broke out between Chair Choi Seung-ho and Vice Chair Lee Song-yi. The union claimed that Lee and the Gwangju chapter head had leaked information to outside parties, including transactions with a company run by Choi's father-in-law, and had discussed ways to force Choi out in order to block the DS-centered reorganization.

Lee, in turn, released union accounting records and raised questions about Choi's use of membership dues. She argued that mileage and points generated from card payments made by the union may have accrued to Choi personally.

Choi Seung-ho, chairman of the Samsung Electronics branch of the Cho-Gieop Union, answers reporters' questions on Nov. 13 after attending a second hearing at the Suwon District Court in Yeongtong-gu, Suwon, Gyeonggi Province, on an injunction request to bar illegal industrial action by the Samsung Electronics union. Yonhap News1 - Seoul Economic Daily Finance News from South Korea
Choi Seung-ho, chairman of the Samsung Electronics branch of the Cho-Gieop Union, answers reporters' questions on Nov. 13 after attending a second hearing at the Suwon District Court in Yeongtong-gu, Suwon, Gyeonggi Province, on an injunction request to bar illegal industrial action by the Samsung Electronics union. Yonhap News1

In particular, she said there were indications that points generated from the purchase of resort memberships and department store goods had not accrued to the union, and called for verification of the actual accumulation and usage records. Choi countered that the contract with the company run by his father-in-law was decided after comparing prices, quality and delivery schedules across several suppliers, and that he received no personal financial benefit.

Behind the conflict lies a shift in the balance between the DS and DX divisions. During wage and collective bargaining talks with management in May, large numbers of DX members left the union, raising the DS share within the Cho-Gieop Union. After Choi won re-election, the DS-centered reorganization gathered pace, intensifying clashes with leaders from the DX division.

Donghaeng, the Samsung Electronics union made up largely of DX division members, is also seeing internal conflict spread over its next leadership election.

Some Donghaeng steering committee members and delegates asked the Gyeonggi branch office of the Ministry of Employment and Labor to issue a corrective order, arguing that the acting chair had neutralized the steering committee's authority and violated the union charter. Donghaeng plans to hold elections for its next chair and senior vice chair from the 21st through the 28th.

Friction has grown, however, because the leadership is pressing ahead with the vote even though motions to form an election management committee and to establish election rules were voted down at a delegates' meeting. The group has asked the labor ministry to reconvene a formal delegates' assembly, hold another vote on the motions and have the steering committee review the agenda.

In the DS division, by contrast, the Cho-Gieop Union appears to be tightening its grip. In the election of employee representatives to the company-wide labor-management council held on the 18th, all five DS division candidates recommended by the Cho-Gieop Union, including Choi, won in the five constituencies covering Pyeongtaek, Giheung, DSR, Hwaseong, Cheonan and Onyang.

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Original reporting by Koo Kyung-woo for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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