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Micron Union Threatens Strike Over Profit-Sharing Demands
15 Sep
Summary
- Taiwanese union threatens strike if profit-sharing demands aren't met.
- Workers seek a permanent system, not one-off bonuses.
- Micron faces potential disruption to key AI chip production.
A Taiwanese union representing Micron Technology workers has issued a strike threat, demanding the implementation of a permanent profit-sharing system. The union stated that negotiations could break down if no concrete proposal is presented by September 18 and 21. They are pushing for 15% of the company's operating profit to be allocated to employees worldwide.
Micron recently announced fiscal 2026 rewards, including a T$1 million bonus for eligible Taiwan employees. However, the union criticized these as insufficient and announced while labor mediation was ongoing. Micron stated its commitment to the mediation process, with further sessions scheduled for unions representing over 80% of its 15,000 Taiwan employees in Taoyuan and Taichung.
Taiwan is a critical hub for Micron's DRAM and HBM chip production, essential for AI servers. Potential labor action there could exacerbate existing supply concerns in the memory chip market and underscores the growing demand for chipmakers to distribute AI-driven profits to their workforce.