[Edaily Reporter JAEMIN SONG ] The SK hynix Unified Labor Union, which was formed amid a dispute over performance-based pay, has embarked on an experiment to create a new union that encompasses production workers as well as technical and administrative staff. While it will not be easy to immediately change the trajectory of this year’s wage and collective bargaining negotiations, the initiative is expected to become a key factor in reshaping the existing bargaining structure—which is currently divided by job category and workplace—depending on the pace at which the union expands its membership.

According to industry sources on the 14th, the SK hynix Unified Labor Union had 2,762 members as of that day. The union’s goal is to secure 18,000 members—more than half of the company’s total workforce of approximately 35,000—to become the majority union. Membership is open to all employees—including full-time staff in Icheon and Cheongju, as well as technical and administrative staff—regardless of job category or work location. The union will operate as an independent organization not affiliated with any umbrella organization such as the Korean Confederation of Trade Unions (KCTU) or the Federation of Korean Trade Unions (FKTU).

Currently, three unions are active at SK hynix: a union for technical and administrative staff affiliated with the KCTU, and a union for full-time staff in Icheon and Cheongju affiliated with the KCTU. With the launch of the Unified Union, the total number of unions has increased to four. While the existing unions each represented the interests of specific job categories and regions, the Unified Union aims to consolidate these into a single channel to enhance its representativeness and bargaining power.

However, the launch of the unified union does not immediately mean it will participate in this year’s wage and collective bargaining negotiations. Negotiations are currently proceeding with the three existing unions at the center. In a Q&A section on its website regarding bargaining rights for this year’s negotiations, the unified union stated, “If we secure a majority of all employees and obtain majority union status, we can assume and exercise bargaining rights.” However, it added that it would provide further guidance on the specific feasibility and timing of the transfer of bargaining rights after a legal review.

The First Test: “PS Cash Payments”… Securing a Majority Is Key

The Unified Union’s first test is the Profit Sharing (PS) program, which served as the direct catalyst for its formation. Last year, SK hynix management and labor agreed to abolish the PS cap, using 10% of last year’s operating profit as funding, and to maintain this system for 10 years. Under this arrangement, 80% of the payment is distributed in cash in the current year, while the remaining 20% is paid out in installments over the following two years.

However, opposition from employees has grown after management proposed during this year’s negotiations to pay a portion of the PS in the form of company stock and restrict its sale for a certain period. Employees argue that not only could the actual value of the compensation fluctuate depending on the stock price, but renegotiating a system less than a year after it was agreed upon could undermine trust between labor and management.

The Unified Union plans to collect signatures from employees company-wide to uphold the principle of cash payments for the PS. The union stated, “Changing the payment method—such as paying in stock instead of cash—constitutes a violation of workers’ rights,” adding, “We plan to proactively secure company-wide signatures in opposition to prevent this.” Regarding last year’s negotiation process, the union said, “We will request access to evidence, such as official meeting minutes and audio recordings, from management, and will verify and respond based on this information.” The union’s policy is to focus on expanding its membership base during its early stages by enhancing the transparency of the negotiation process and allowing dual membership with the existing union.

The key issue is whether members who have come together around the performance-based bonus can be retained as a long-term organizational base. Production workers, technical staff, and administrative employees may have different demands regarding wage structures, working conditions, and personnel systems. If the unified union can reconcile these differences, it can present a single, representative voice; however, if it fails to secure a majority, it may simply add another union to the existing ones, potentially increasing the costs of coordination between management and the unions.

Previously, at SamsungElectronics, the structure of majority unions and bargaining representatives was shaken when members switched between unions over performance bonuses and compensation disparities among business divisions.

An industry official stated, “It is still unclear whether the unified union will become the majority union or what demands it will put forward in the future, so it is difficult to predict the impact on labor-management relations,” adding, “However, to secure actual bargaining power, it will be crucial not only to increase the number of members but also to effectively coordinate the differing interests across various job categories.”