Chairman Seungho Choi of the Samsung Electronics Union Denies Personal Gain in 300 Million Won Contract with Father-in-Law's Company

"Procurement of Rally Supplies Went to My Father-in-law’s Company,
But Decision Was Based on Price and Delivery Schedule"

Chairman Seungho Choi of the Samsung Electronics Branch of the Samsung Group Super Enterprise Labor Union (hereinafter referred to as the Super Enterprise Labor Union), which is the largest labor union at Samsung Electronics, has clarified that he did not gain any personal benefit following controversy over the purchase of rally preparation items, such as vests, from his father-in-law's company.

Chairman Seungho Choi of the Samsung Electronics Branch of the Samsung Group Super-Enterprise Labor Union speaking. Photo by Yonhap News.

On the 9th, Chairman Choi wrote in the Super Enterprise Labor Union’s anonymous group chat for union members, “It is true that the representative of company A (the company at the center of the allegations) is my father-in-law,” but emphasized, “There was no financial benefit whatsoever.”

Previously, after the Joint Struggle Headquarters was established in March, the union signed a supply contract for promotional items and rally equipment with Company A, managed by Chairman Choi's father-in-law. At that time, the Super Enterprise Labor Union reportedly signed a contract worth around 300 million won with Company A to purchase items such as raincoats, traffic batons, amplifiers, and other rally and event goods. This sparked controversies both inside and outside the union over potential family favoritism and the receipt of undue profits.

He explained, “The contract with Company A was not designed to provide undue benefits to me or my relatives. The decision was made after comparing the actual contract terms, including price and delivery schedule, at the time. Among the companies we reviewed, Company B charged 12,000 won per vest (including printing), so we decided against it. Company A offered 8,500 won, and Company C offered 10,000 won. We made purchases from the two companies with lower prices.”

He said that, for the order of vests, a comprehensive comparison was conducted among multiple suppliers addressing price, quality, delivery schedule, and work experience. Company A provided the lowest quote and was able to meet the urgent delivery schedule required by the Joint Struggle Headquarters at the time.

In April of this year, in front of Samsung Electronics Pyeongtaek Campus in Pyeongtaek, Gyeonggi Province, union members shouted slogans at the Samsung Electronics Labor Union Joint Struggle Headquarters' "Let's Change Transparently and Realize the Abolition of Upper Limits - 4/23 Struggle Resolution Rally." Photo by Yonhap News.

Chairman Choi also stated that this decision was carried out with the consent of the entire executive team of the Joint Struggle Headquarters, adding, “There has not been any rebate, commission, refund, or any other financial gain for myself as chairman from this contract.”

He further explained, “In fact, by proceeding with the contract at a lower quoted price, we were able to reduce the cost to union funds and ensure timely delivery of urgently needed vests. Currently, in consideration of union members’ perspectives that even such contracts could be problematic, we have completely ruled them out in advance.”

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