Samsung Electronics reaches wage deal, to pay DS incentives with stock

May 21, 2026, 08:00 am

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(From left) Yeomyeong Gu, Head of the People Team at Samsung Electronics’ DS Division, and Choi Seung-ho, chief of the Samsung Electronics branch of the Samsung Group Super Enterprise Labor Union, pose with Labor Minister Kim Young-hoon after signing a tentative wage agreement at the Gyeonggi Regional Employment and Labor Office on May 20. /Yonhap

Samsung Electronics and its labor union reached a tentative agreement to raise average wages by 6.2% this year and provide special semiconductor performance bonuses equivalent to 10.5% of business performance.

According to the union on May 20, performance-based compensation will be divided into the OPI (Overall Performance Incentive) and a special management performance bonus for the Device Solutions (DS) division.

The allocation ratio for the DS division’s special management performance bonus pool will be set at 40% for the division and 60% for individual business units.

For loss-making business units, the company agreed to use the division-wide pool to provide 60% of the common payout rate beginning in 2027.

Earlier in the day, Choi Seung-ho, chief of the Samsung Electronics branch of the Samsung Group Super Enterprise Labor Union, said during a press briefing that “the company agreed to postpone changes to the allocation method for one year.”

Samsung Electronics also agreed to pay the DS division’s special management performance bonus entirely in treasury shares after taxes. The shares will be subject to lock-up periods depending on holding duration, and the system will remain in effect for the next 10 years.

In addition, employees in the Device eXperience (DX) division will receive treasury shares worth 6 million won.

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