Samsung union postpones general strike upon reaching tentative deal

Samsung Electronics and its largest labor union reached an 11th-hour tentative wage deal on Wednesday successfully averting an 18-day general strike. The union has officially suspended planned strike actions while its members vote to ratify the agreement.

Samsung agreed to abolish its previous 50% cap on performance-based bonuses. The company will set aside 10.5% of operating earnings from the Device Solutions chip division to be distributed to employees, partially in the form of company stock. The company announced that its employees will receive an average base wage increase of 6.2%, along with enhanced housing loans and child support benefits.