Micron Taoyuan Union Rejects Bonus Plan After Symbolic Strike in Taiwan
By Chang Chien-chung, Sunny Lai · · TexaHub · Semiconductors, Regional Tech Ecosystems
Members of Micron's Taoyuan union in Taiwan voted down the company's profit-sharing proposal on October 23, a day after 11 union officials staged a 24-hour strike. Around 70% of the union's more than 2,300 members voted against the plan.
Strike and Vote
Eleven officials of the union at Micron's Taoyuan plant in Taiwan began a 24-hour strike at 9 a.m. on October 22. The union said the action was not meant to disrupt production but warned that more workers could join future action. Members had authorised a strike on October 7, with 1,994 of 2,012 voting members in favour. [1]
On October 23 the union said around 70% of its more than 2,300 members had rejected the proposal the company presented on October 22. "The fight is not over, and we have not given up," the union said, adding that the company had "failed to respond to any of the union's demands." [2]
Taichung Deal
The Taoyuan action followed an agreement signed on October 21 between Micron and the union at its larger Taichung site, which has about 12,300 employees, around 11,000 of them union members. Taoyuan has about 3,000 employees. Taoyuan union chairman Jerry Lin said his representatives had been excluded from the talks and disputed the Taichung vote count, and said Micron cited confidentiality when asked about the agreement's terms. [1]
Micron Taiwan chairman Donghui Lu said the Taichung agreement includes a new quarterly profit-sharing bonus tied to company earnings, on top of the existing Incentive Pay Plan, along with structural salary adjustments, higher shift allowances, three additional paid leave days and an increase in pension contributions from 8% to 10%. He said Micron respected the strike and would keep talking to the Taoyuan union. [1]
Union Demands
The unions have sought a one-off bonus equal to 83 months' salary and a permanent system allocating 15% of operating profit to worker bonuses, paid quarterly rather than annually. Two unions represent 12,000 of Micron's 15,000 workers at its Taoyuan and Taichung plants. [2]
A negotiating session set for October 23 was postponed because of a typhoon, and the next round was scheduled for October 27. Micron's share price has risen more than 300% over the past year on record AI-driven earnings, and Samsung Electronics recently avoided a strike in South Korea by agreeing to distribute bonuses equal to 10.5% of operating profit to its semiconductor staff. [2]
Sources
[1] Micron Taoyuan union reps begin symbolic 'strike' after Taichung deal — Focus Taiwan (CNA)
[2] Taiwan union says Micron workers reject bonus proposal — The Standard (AFP)