The American Chamber of Commerce in Korea (AMCHAM) expressed concerns Monday over the potential impact that the ongoing labor dispute at Samsung Electronics could have on global chip supply chains, as the company’s management and labor unions resumed their wage negotiations 10 days before the unions' planned strike.

In a statement, AMCHAM said Samsung Electronics plays a critical role in the global semiconductor ecosystem, particularly in the production of memory chips essential to artificial intelligence (AI) infrastructure and other advanced industries, and any significant production disruptions at the company could place additional strain on the global memory chip market.

“Many AMCHAM member companies across industries such as AI, cloud infrastructure, automotive, manufacturing, industrial technology and energy remain highly dependent on stable semiconductor supply chains based in Korea,” the statement read.

“Continued labor uncertainty in key export-driven industries could affect confidence in Korea’s reputation as a stable and dependable global partner in manufacturing, technology and supply chains, as well as its position as an important regional business hub. More broadly, disruptions affecting strategically important industries may also influence how global companies assess Korea’s reliability and resilience within the global technology ecosystem.”

This marks the first time AMCHAM has officially issued a statement regarding a labor dispute at Samsung Electronics. The move reflects concerns that the dispute could be interpreted not merely as a labor issue at an individual company, but as a signal of broader instability surrounding the operational reliability of Korean businesses.

Citing its 2026 Business Environment Survey, AMCHAM said Korea slipped a notch to third place as a preferred regional headquarters destination in Asia among surveyed global companies, adding that “situations such as the current labor uncertainty in the semiconductor sector may further influence how global companies evaluate Korea’s long-term investment environment and overall business stability.

“In our ongoing dialogue with member companies and global business leaders, we continue to hear growing emphasis on supply chain resilience, operational continuity and long-term business predictability across the region,” AMCHAM Chairman James Kim said in the statement.

“Maintaining a stable and predictable business environment aligned with global standards is essential to strengthening Korea’s position as a leading regional headquarters and investment hub in the Asia-Pacific region.”

The statement came as the company’s union leaders and management resumed their wage and collective bargaining agreement talks on Monday in a two-day negotiation session arranged by the government.

Since last November, the two sides have gone through multiple rounds of negotiations, but the talks broke down in February. The unions have threatened to launch an 18-day strike starting May 21, reiterating demands that the company allocate 15 percent of operating profits to employee performance bonuses and remove the payout cap.

Given that Samsung Electronics’ operating profit this year is projected at around 270 trillion won ($183 billion) to 300 trillion won, the total performance bonus payout could reach roughly 40 trillion won to 45 trillion won.

Samsung Electronics Labor Union Chairman Choi Seung-ho, who is leading the negotiations, told reporters that the union is repeating its demands on the bonus and payout cap.

“If the company does not present a position on institutionalizing the scheme, we believe mediation efforts could break down as early as today,” he said before the Monday negotiations.

In the latest developments, Samsung management proposed to allocate an amount equivalent to 10 percent of operating profit for performance bonuses, while guaranteeing the company’s memory business employees would receive bonuses surpassing those of rival chipmaker SK hynix, if the business achieves the industry’s top sales and operating profit.

Reportedly, the two sides are narrowing their differences on employees from the memory chip business receiving around 600 million won per person. However, the two sides have yet to make notable progress over the issue of providing bonuses to employees in the loss-making foundry and chip design businesses.

The unions are also reportedly demanding that employees in the foundry and chip design businesses receive bonuses of around 300 million won, while management is arguing that payouts for those divisions should remain below 100 million won.

Another point of concern is that even if SELU and management reach an agreement, it is uncertain whether other labor unions would approve it through a vote.

Samsung Electronics Co. Union (SECU), the company’s third-largest labor union comprised mostly of employees from its smartphone and home appliance businesses, has demanded a reduction in the performance bonus gap with the semiconductor division. However, SELU, whose membership is largely made up of semiconductor employees, rejected the request while promising to reflect the issue in next year’s wage negotiations.

By: DocMemory
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