Samsung Shares Jump 6% After Union Suspends 18-Day Strike on Tentative Wage Deal

14 articles · Updated · CNBC · May 21

Samsung Electronics rose more than 6% after its union late Wednesday suspended a planned 18-day strike and set a May 22-27 vote on a provisional wage agreement.
Government-led talks revived after an earlier collapse, with Labor Minister Kim Young-hoon saying the sides had narrowed gaps considerably even though key issues remain unresolved.
The tentative terms would give the chip division 40% of the bonus pool and a special bonus equal to 10.5% of operating profit, while linking bonuses to profit and removing a payout cap.
Samsung’s rally was also lifted by a broader chip-stock boost after Nvidia posted an 85% revenue jump to $81.62 billion, announced an $80 billion buyback and raised its dividend.
Avoiding the strike matters beyond Samsung: South Korea’s prime minister had warned direct losses could reach 1 trillion won, with wider damage far higher if wafer production were disrupted.

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