Samsung Electronics' primary union in South Korea approved a wage increase deal on Wednesday. Last month, the tech giant and the union agreed on a 5.1% pay raise for this year, pending union member ratification. The National Samsung Electronics Union (NSEU) comprises approximately 36,000 members, representing around 30% of the company's South Korean workforce.
The NSEU advocated last year for improved pay and working conditions, without disrupting production, according to the company. The ongoing labor disagreement has posed challenges for the world's leading memory chipmaker as it contends with semiconductor competition for AI applications.
In addition to the wage hike, Samsung announced plans to provide employees with points for purchasing its products and 30 shares in the company, as stated in a Samsung Electronics press release.