A performance bonus agreement at Samsung Electronics triggered labor disputes and fairness concerns at Samsung SDI. Samsung Electronics will reward its loss-making non-memory divisions with stock-based bonuses.
Samsung SDI paid zero performance bonuses last year. An electric vehicle demand slowdown drove this zero payout.
Employees demand a compensation structure overhaul. They seek to replace the Economic Value Added metric with an operating profit-linked model.
Unions threaten collective labor action. The company's stock declined 1.24% on May 26.