Samsung’s New Raise Offers Rejected Mainly For Weak Wage Increases

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Samsung is one of the largest Android manufactures in the world, and one of the largest companies on the planet in general. Well, Samsung’s new raise offers have been rejected because unions want more guarantees according to SamMobile.

These offers were the biggest raises in over a decade. However, major unions are not one hundred percent satisfied with Samsung’s employee compensation packages for the new fiscal year. This really seems to be the truth in its home country of South Korea.

There are new reports stating that representatives of 3,000 employees have rejected Samsung’s new offer last week. This is a big shift in the power dynamics in the South Korean market. This news comes a year and a half after Samsung’s former board chairman Lee Sang-hoon was arrested.


Sang-hoon was taken to jail for the act of union-busting. However, the former chairman was acquitted last August. This makes it imperative that Samsung keeps unions happy. As said these representatives are rejecting Samsung’s current offers.

The representatives are aiming to get a double-digit increase in wages for the employees. To put some context to this the previous offer ranged between 7.5-12%. The last third of which would have been tied to performance bonuses.

Samsung’s new raise offers are not good enough according to unions

The unions already boast hundreds of members and are on track to sustain continued growth. The negotiations that are still ongoing with Samsung involve four of these unions. The reason why the unions are truly unhappy is weak wage increases.

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The unions argue that the wage increases over the past three years have been weak. It stands to reason if Samsung were to improve the wage increases that the unions may be happier. However, the trajectory of where the situation can go is hard to anticipate.

Accusations of not acting in good faith are coming from both Samsung and unions. Neither side seems to want to go to the courts to solve anything according to SamMobile.

Samsung again is the leader in the Android smartphone market, so keeping their employees is important. The company offers some of the best smartphones on the planet like the Galaxy S21. But, they also have tough competition from other companies.


Xiaomi has recently released their new Mi 11 family. In addition, a little over a week ago OnePlus gave the world the OnePlus 9 and OnePlus 9 Pro. If Samsung is to going keep its lead the company will have to make sure it dots its i’s and crosses all of its t’s.