Samsung Electronics and its labor union resumed government-mediated negotiations on Monday. These talks aim to prevent the largest strike in company history scheduled for May 21.
A South Korean court issued a partial injunction requiring that any strike action must not disrupt production output. This ruling prevents a total manufacturing halt during the labor dispute.
Samsung shares closed 3.9% higher following the court's decision. The stock climbed more than 6% during intraday trading as supply chain concerns eased.
Investors feared disruptions to the global memory chip supply chain during the current AI-driven demand surge. South Korean government officials, including the president, continue to urge both parties to reach an agreement.