Samsung workers avert strike, secure bonus deal after AI profit surge

The prospect of a strike had sparked concerns in South Korea, where Samsung Electronics accounts for around 12.5 percent of GDP. © Jung Yeon-je, AFP

Samsung union members on Wednesday signed a deal securing massive annual bonuses – averting a major strike in South Korea where Samsung Electronics alone accounts for around 12.5 percent of gross domestic product. Global demand for the memory chips that power AI data centres has turbocharged Samsung's earnings in recent months.

Samsung Electronics union members on Wednesday approved a deal with management securing massive annual bonuses, averting a major strike as the South Korean chip giant's profits soar due to booming demand for artificial intelligence tools.