Samsung Shareholders Threaten Lawsuit Over Wage Deal, Calling It Illegal
Samsung shareholders are threatening legal action against a tentative labor agreement, claiming it is illegal and damages shareholder value.Summary
Samsung Electronics reached a tentative wage agreement with its labor union to avert a general strike, but the Korea Shareholders' Movement Headquarters has declared the deal "illegal." The group argues that allocating a percentage of pre-tax operating profit to performance bonuses violates shareholder property rights under the Commercial Act. They warned that if the board ratifies the agreement, they will file a lawsuit to confirm its invalidity and seek an injunction to block the payments. The shareholders' opposition stems from concerns that the long-term fixed costs will deplete dividend funds and reduce corporate value. The group is currently consolidating forces to secure the 1% stake required to file a shareholder derivative lawsuit and is urging domestic and foreign institutional investors to join their collective action.
(Source：서울경제)