April 26, 2024

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[THE INVESTOR] Samsung Electronics and the advocacy group representing victims of work-related diseases on July 24 inked an agreement to accept upcoming mediation on the long-standing dispute surrounding compensation, which has lasted more than 10 years.

In a landmark decision to end the long drawn-out case, the tech giant decided to accept any proposal made by the mediation committee, which will be delivered in two months. The Supporters for the Health and Rights of People in the Semiconductor Industry (SHARPS) also decided to comply with the forthcoming decision.

The mediation body led by former Justice Kim Ji-hyung earlier warned that the committee will be dissolved unless the two sides reach an understanding to accept whatever verdict is made.

The mediation will cover such issues as compensation, a formal apology and possible plans by Samsung to make social contributions.

The issue first surfaced when Hwang Yu-mi, who worked for Samsung Electronics’ chip production line, died of leukemia in 2007.

SHARPS was established in the following year to stand up for workers who suffered from similar issues after working at Samsung‘s production lines.

While victims have been claiming that such diseases are workplace related, Samsung has rejected such assertions.

Samsung started direct talks with the advocacy group in 2013, with Samsung Vice Chairman Kwon Oh-hyun apologizing in 2014. The two parties, however, failed to reach an agreement, with the first mediation announced in July 2015 ending without making any progress.

In September 2015, the tech giant set up a fund estimated at 100 billion won (US$88.20 million) and started its own compensation program for victims independent of SHARPS.

The advocacy group, on the other hand, has refused to accept the compensation and started an indefinite protest in front of Samsung Group’s main office in Seoul.

The organization is set to end the protest as the parties reached an agreement on arbitration.

By Song Seung-hyun and newswires (ssh@heraldcorp.com)