Labor Minister Kim Young-hoon said he understands Samsung Electronics union workers' demands for performance-based rewards amid their strike notice, but emphasized that "Samsung Electronics is, in substance, a national company." Kim has consistently stressed that substance should take precedence over form when assessing labor issues such as employment status, worker classification, and subcontractor bargaining structures.
Appearing on KBS's "Sunday Diagnosis Live" on the 26th, Kim made the remarks in response to a question about whether the government would mediate or intervene in the Samsung Electronics union strike, saying, "Even if special-employment workers are formally classified as individual business operators, their status as workers can be recognized based on substance."
While Kim avoided directly commenting on the strike itself, he acknowledged that Samsung Electronics workers' compensation demands have legitimate grounds. "It cannot be denied that workers demanding fair compensation have contributed enormously to Samsung Electronics' success story," Kim said. "Through these efforts, Samsung Electronics has had a positive impact on all of us and the national economy."
Particularly notable was Kim's characterization of Samsung Electronics' substance as that of a "national company." Under labor law, many issues are judged by substance rather than form. This view aligns with the labor sector's perspective that Kim shared during his time as chairman of the Korean Confederation of Trade Unions. For example, even without a formal employment contract and under a freelance arrangement, a person can be recognized as a worker under the Labor Standards Act if their status as a worker is established. "Samsung Electronics comprises not only workers, but countless partner companies, regions, and the government," Kim said. "Today's results were achieved through the collective efforts of everyone, including small investments from ordinary citizens."
However, Kim avoided giving a direct answer when the host asked about the government's response to the Samsung Electronics union strike. This is interpreted as reaffirming the principle that the government does not recklessly intervene in labor-management relations at private companies, which should be determined by the parties themselves. "I believe labor and management will wisely and prudently discuss issues concerning partner companies and impacts on the national economy in the process of workers receiving fair compensation," Kim said.
The Samsung Electronics union has announced an 18-day general strike beginning on the 21st of next month. The union is demanding the abolition of the performance bonus cap and that 15% of this year's operating profit be allocated as a bonus pool. Based on brokerage estimates of this year's projected operating profit, the union's demand reportedly amounts to about 45 trillion won.
Kim said the government is preparing measures to introduce a "fairness allowance" for workers with unstable employment arrangements. "We are considering ways to narrow the wage gap despite employment instability, such as by adding allowances for shorter work periods," Kim said. "We plan to announce it soon." Regarding criticism that the Fixed-Term Employment Act, which requires converting fixed-term workers to permanent status after two years, has been ineffective, he said, "We plan to conduct a fact-finding survey through June" and "We will ensure it is addressed as a key agenda item at the Economic, Social and Labor Council," emphasizing a policy-level response.
