Samsung Electronics CEO Urges Vigilance Amid Chip Market Boom, Looming Labor Strike

SEOUL, May 15 (Yonhap) -- Samsung Electronics Co. Vice Chairman and Chief Executive Officer (CEO) Jun Young-hyun, who heads the company's semiconductor division, called on top management officials to stay vigilant amid a looming labor strike, warning against complacency, industry sources said Friday. During a recent management briefing session, Jun urged executives not to become complacent amid the current chip market boom, saying the industry upcycle should be viewed as "the last golden opportunity" to restore the company's fundamental competitiveness. "The time is not for complacency," he was quoted by the sources as saying, emphasizing the need to regain technological competitiveness. The remarks came as the world's largest memory chipmaker reported a net profit of 47.22 trillion won (US$31.8 billion) in the first quarter, more than five times higher than a year earlier, driven by strong demand for high-end memory chips used in artificial intelligence (AI) applications. The comments also came as the union warned of a major strike next Thursday, with labor and management remaining sharply divided over performance-based bonuses tied to earnings from the company's chip business. Observers say Samsung Electronics could post more than 300 trillion won in operating profit this year on the back of the chip boom.