Samsung Gains Approval for 64-Hour Week in R&D, Semiconductor Units
Facing stiff competition in the semiconductor market, Samsung Electronics sought and received government permission to extend the workweek for some employees beyond South Korea’s standard 52-hour limit. The technology giant, feeling pressure from rivals outpacing it, became the first company in its region to gain approval for a 64-hour week. This extension specifically applies to its R&D personnel working on chip development and is intended to boost Samsung’s competitive edge in the industry.
Revised labor laws allowing companies like Samsung to extend statutory work hours for up to six months per application enabled the government approval
The Chosun Daily reported that Samsung’s application was greenlit on April 9 by the Gyeonggi branch of the Ministry of Employment and Labor. Consequently, employees in the R&D division must work the additional hours. However, the report did not state whether this increased workload comes with corresponding higher compensation. The approval follows modifications to South Korea’s labor laws made on March 14, which created exemptions allowing companies to exceed the 52-hour workweek cap.
For Samsung’s R&D sector, the overtime provision permits a workweek of up to 64 hours for a duration of six months. To continue beyond this period, the company must submit a new application, which will require further approval. Previously, government labor rules restricted such overtime extensions to just three months. The new regulations permit companies like Samsung to request a single, longer extension. A labor ministry official noted that other unnamed semiconductor companies are also preparing similar requests in a bid to gain an advantage over competitors.
This development occurs shortly after reports emerged that Samsung marked a significant milestone, achieving 2nm yields of 40 percent. This is an improvement from the 30 percent yield rate observed during a trial production run of the Exynos 2600. Such alleged advancements indicate the foundry giant is making progress in its efforts to compete effectively with TSMC. Nevertheless, the referenced report does not indicate whether South Korea’s updated labor laws provide sufficient protection against employee exhaustion or ensure fair compensation for the extended working demands.
News Source: The Chosun Daily
