Samsung BioLogics Union Withdraws from Samsung Group Industry-Wide Union... 'Pragmatic Negotiations' Expected

Samsung BioLogics Union Approves Withdrawal with 96% Support
Effectiveness of Industry-Wide Solidarity Diminishes

The labor union at Samsung BioLogics has decided to withdraw from the Samsung Group’s industry-wide union and transition to independent negotiations. As the solidarity among the labor unions of Samsung affiliates weakens, the strike momentum of the Samsung BioLogics union has also diminished significantly, signaling a structural shift in future labor-management negotiations.

According to the Samsung BioLogics union on the 29th, the union held a vote among its members from the 24th to the 28th of this month on whether to withdraw from the industry-wide union and change its organizational structure, and the motion was approved. Out of 4,005 eligible union members, 2,479 participated, and 2,392 voted in favor, resulting in a high approval rate of 96.5%. Once the administrative procedures are completed, Samsung BioLogics will become the second case of withdrawal from the industry-wide union, following the first union of Samsung Electro-Mechanics. The Samsung Group industry-wide union, launched in February 2024 with about 73,000 members, drew much attention, but with Samsung BioLogics, one of its main unions, leaving, the focus is now on how the organization will operate going forward and whether the wave of withdrawals will spread to other affiliates.

This decision was based on an internal assessment that the industry-wide union’s solidarity actions failed to deliver substantial breakthroughs. The Samsung Electronics union, which had played a central role in the alliance, concluded its wage and collective bargaining agreement, causing the shared momentum for joint action to dissipate rapidly. Furthermore, the different wage structures and interests at each affiliate reduced the effectiveness of joint responses. The union leadership recognized the limitations in organizational maturity and determined that establishing an independent course for each company, rather than following a rigid common front, would allow them to address their own issues more quickly in line with members’ demands.

It is anticipated that the union’s strike power will be noticeably weaker after choosing an independent path. The collective labor actions that began in December of last year have lasted more than half a year, causing fatigue to accumulate among union members. Samsung BioLogics’ union held a large-scale full strike from the 1st to the 5th of last month, resulting in an estimated loss of about 150 billion won, according to management. Subsequently, the prolonged refusal to work overtime or on holidays as part of lawful protest further increased economic anxiety among union members. Some members have lost up to 1.5 million won in wages due to reduced allowances, which became a major reason for the growing sentiment in favor of leaving the industry-wide union. As skepticism about further strikes spread within the union, attendance at the general meeting held from the 16th to the 18th of this month dropped to about 200, less than one-third the level of the roughly 700 who attended before the strike.

Consequently, the union leadership is expected to steer away from excessive hardline actions and focus on pragmatic, individual negotiations moving forward. Labor and management resumed talks in mid-June following intensive negotiations last month and plan to meet again on July 1 and 2. With the external variable of the industry-wide union now gone, management can negotiate with the individual union directly, reducing pressure and enabling more concrete discussions. Currently, the union has shifted from its original demands—which included a 30 million won incentive per person, a 14% average base salary increase, and distribution of 20% of operating profit as bonuses—to a revised proposal, while management is offering a 6.2% wage increase. Both sides are expected to seek common ground while monitoring the outcome of the second trial regarding the injunction request filed by management to prohibit industrial action.

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