News - Micron Resolves Taichung Labor Dispute, Faces Uncertainty in Taoyuan

Micron Technology’s Taiwan division, Micron Memory Taiwan, and the labor union representing its Taichung employees announced reaching an agreement addressing some labor-management issues. The formal deal was concluded on Wednesday, paving the way for both parties to withdraw from a previously scheduled mediation session set for Thursday. The joint announcement from Micron and the labor group provided no specifics about the terms of the agreement. However, it promised that details would be made available to the affected workforce in the following days. Micron expressed optimism about resolving other ongoing labor-management challenges in a spirit of mutual support, as reported by Focus Taiwan. This likely refers to the continuing negotiations with another employee union in Taoyuan, which remains unresolved. As the talks with the Taoyuan union extend unresolved, the union had initially scheduled a one-day strike for the following Thursday. In a release issued on Wednesday, the union clarified that the planned strike should not be mistaken as an indication that negotiations have been terminated. In their statement, they urged Micron to propose a profit-sharing plan acceptable to all union members, according to coverage by Focus Taiwan. As of the report, the union has not confirmed whether the strike will proceed as planned when inquired by Reuters. The backdrop for the union’s firm stance is its demand for a tangible profit-sharing framework, specifically seeking 15% of Micron's operating profits to be shared with employees. Both of the company's unions have criticized the current incentive plan as opaque, according to Focus Taiwan. Micron, headquartered in Idaho, claims the position of the third-largest global memory chip manufacturer, employing approximately 15,000 workers in Taiwan, primarily in Taichung. The company specializes in producing DRAM and high bandwidth memory chips tailored for AI server usage. Focus Taiwan places the Taichung workforce at around 12,300 employees, approximately 11,000 of whom are union members. Similarly, the Taoyuan operation encompasses about 3,000 workers, with around 2,400 carrying union membership.