The National Samsung Electronics Union (NSEU) has announced an indefinite strike, urging its 30,000 members to participate in a push for better pay and benefits. This decision follows a three-day general strike, which ended without any progress in negotiations with Samsung management.

The union, representing nearly a quarter of Samsung Electronics’ workforce in South Korea, claims that the company has shown no willingness to engage in discussions regarding their demands. Despite union assertions that their strike disrupted production, Samsung has disputed these claims. “Samsung Electronics will ensure no disruptions occur in the production lines. The company remains committed to engaging in good faith negotiations with the union,” the firm stated to BBC News.

The NSEU, however, stands firm. “The company has no intention to engage in a dialogue even after the first general strike, thus we declare a second general strike starting from July 10th, lasting indefinitely,” a union spokesperson announced. Approximately 6,500 workers have already joined the strike, with the union calling for more members to participate. Monday’s protest saw around 3,000 attendees.

Despite the union’s actions, market analysts like Jung In Yun from Fibonacci Asset Management Global believe there will be no significant production disruptions. Samsung Electronics, the world’s largest producer of memory chips, smartphones, and televisions, has a substantial impact on South Korea’s economy. The company, part of the Samsung Group conglomerate, only allowed union representation starting in 2020, following public scrutiny and legal issues involving its chairman.

Samsung’s stock showed minimal reaction to the strike news, trading flat to slightly lower on the Korea Stock Exchange. Notably, the company recently forecast a 15-fold increase in profits for the second quarter of 2024, driven by a surge in AI technology and the rising prices of advanced chips.

As the strike continues, both sides remain at an impasse, with the union determined to press for improved working conditions and Samsung maintaining its stance on ensuring uninterrupted production.