Kim Young-hoon: "Samsung Electronics Labor Talks Were a Difficult Negotiation Where Desires Clashed"

Kim Young-hoon, Minister of Employment and Labor, commented on the difficulties during the tentative labor-management agreement process at Samsung Electronics, describing it as "a negotiation where desire clashed with desire." He explained that the complicated web of interests surrounding the performance-based bonus system made it an issue that could not be resolved using only the conventional labor-management negotiation framework.

On May 21, appearing on the YouTube show 'Choi Wook's Maebul Show,' Minister Kim said, "Since strikes are ultimately resolved through negotiations, in reality, the more difficult part is the negotiation itself," and added, "This time, the demands from both sides were sharply at odds." He stated, "Although I have witnessed many strikes over the years, it is rare to encounter a case as difficult to explain with existing approaches as this one."

Kim Younghoon, Minister of Employment and Labor, is attending the Emergency Economic Headquarters Meeting and the Economic and Real Estate Ministers' Meeting held at the Government Complex Seoul in Jongno-gu, Seoul on the morning of the 15th. Photo by Yonhap News

He specifically identified the lack of trust between labor and management as the fundamental cause of the conflict. Minister Kim said, "Emphasizing transparency actually means there is a lack of transparency, and the discussion of institutionalization indicates a high level of mistrust," adding, "Both sides were responsible for this." He went on to stress, "Institutions do not create trust first; rather, institutions are the result of accumulated trust."

He cited the decision to defer the application of special management performance bonuses for deficit business divisions for one year as a decisive factor in reaching the agreement. Minister Kim explained, "If the application to the non-memory sector is implemented starting in 2027, it can be adequately explained within the company and serve as a motivation for employees," adding, "As the company accepted this, the dialogue progressed."

However, he noted that a variable remains before the final settlement: the union’s vote for or against the agreement. He said, "Unlike wage increase negotiations, this time the issue of bonus disparities is intertwined, so it will not be easy for the union to adjust opinions internally," and suggested, "There is a high likelihood that a thorough discussion process will continue." He further added, "It is difficult to resolve all issues at once," and emphasized, "For greater benefit, it is sometimes necessary to restrain certain desires."

Minister Kim distanced himself from claims made by some in the political sphere that the so-called 'Yellow Envelope Act' was the background for the general strike. He said, "This case has nothing to do with the Yellow Envelope Act," and explained, "If subcontracted workers were demanding direct negotiations with the primary contractor, there could be a connection, but this case is of a different nature." He further criticized claims that the Yellow Envelope Act creates privileged unions, calling such assertions a contradiction in terms.

This content was produced with the assistance of AI translation services.