Lee Sang-hoon, the chairman of Samsung Electronics, has been discovered responsible of violating South Korea’s labor union legal guidelines and sentenced to 18 months in jail, the Financial Times reports. Prosecutors stated that Lee, together with round 24 different present and former Samsung officers, used quite a lot of techniques to discourage union exercise, together with threatening to chop wages and withdrawing enterprise to union-friendly subcontractors.
Though The Wall Street Journal reports that the ruling is unlikely to affect Samsung’s traders, the FT says that it’ll put stress on the corporate to enhance its company tradition. Samsung’s anti-union stance implies that few have traditionally existed inside its enterprise. Nonetheless, final yr, the corporate acknowledged a 1,000-person labor union, and final month, Samsung Electronics workers established a brand new union beneath certainly one of South Korea’s labor union umbrella teams.