Taiwan’s president urged Micron and its workers to negotiate “sincerely” on 15 October ahead of a possible strike, Reuters reported. The appeal came as Micron opened an advanced assembly and testing site in Taichung, where President Lai Ching-te spoke, Finimize reported.
Key points
- Lai Ching-te called for further talks between Micron and local unions.
- The Taoyuan union has voted to authorise a strike but has set no strike date.
- Micron’s Taichung plant is a major hub for high-bandwidth memory production.
Lai speaks at Micron’s Taichung opening
Lai called on Micron and local unions to keep negotiating over bonus and profit-sharing terms, Finimize reported. Micron employs roughly 15,000 people across its Taiwan operations. The president’s intervention brings the dispute to the opening of a new company site, while workers at one of its plants already have authority to strike.
Micron says it has invested more than T$1.6 trillion ($49.4 billion) in Taiwan, Finimize reported. Mediation with the Taoyuan union ended without agreement in September, while the Taichung union remained in talks.
Taoyuan union authorises strike action
The Taoyuan vote preceded Lai’s appeal. Of 2,258 eligible union members, 1,994 voted in favour of strike action, The Standard reported on 7 October. Jerry Lin, head of the Taoyuan union, said no strike date had been set.
The unions are seeking a one-off bonus equivalent to 83 months’ salary and a permanent system allocating 15 percent of Micron’s operating profits to worker bonuses, paid quarterly, The Standard reported. Lin said the union wanted an open and transparent system rather than a one-off payment determined by management.
Micron’s announcement of a payment equivalent to as much as 68 months’ pay was rejected by workers, The Standard reported. AI Affairs previously reported the Taoyuan union’s strike authorisation over bonuses. Lai’s public appeal is the new development.
Taichung’s HBM production raises the stakes
Micron is expanding DRAM and high-bandwidth memory capacity in Taiwan, with its Taichung plant serving as a major HBM production hub, CommonWealth Magazine reported on 8 October. The magazine said a strike could affect AI server production worldwide. The Taichung union said its talks with Micron would continue despite the Taoyuan strike plan.
Micron said the memory industry’s volatility required it to balance spending on employees with research, development and manufacturing, according to CommonWealth Magazine. Micron described its pay arrangements as including base wages, incentive payments, equity awards, a staff share-buying scheme and additional perks.
The Taichung union will resume negotiations with Micron on 22 October, CommonWealth Magazine reported.
