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President Lee: "Profit Sharing Should Not Be Subject to Labor Disputes"

Yoo Younggyu

Published : Jul 21, 2026 2:44 PM


▲ President Lee Jae-myung speaks during a Cabinet meeting held at the Blue House on the 21st.

President Lee Jae-myung stated on the 21st, regarding the controversy over the introduction of "profit-sharing bonuses" at some major companies such as Samsung Electronics and SK Hynix, "I believe it is highly unlikely that the distribution of a certain percentage of operating profits is a legitimate subject for labor disputes."

President Lee made the remarks during his opening statement at a Cabinet meeting presided over at the Blue House earlier today, while noting that it was his "personal opinion."

He specifically pointed out, "As someone who majored in labor law, it seems that the scope of what is considered a subject for labor disputes is expanding too broadly."

President Lee explained, "When it was announced that a semiconductor plant would be built at the Gwangju military airport, the labor union claimed this was also a subject for dispute, suggesting that if an agreement cannot be reached, the project cannot proceed. This has taken the public by surprise."

He continued, "The argument seems to be that if a factory is built in Gwangju, it could lead to personnel transfers, thus making it a subject for labor disputes. If we follow that logic, every management decision made by a company could be considered related," adding, "If we use inheritance as an example, if people start saying, 'If the company is sold to a certain person, they might become a malicious employer and worsen labor conditions,' there would be no end to it."

President Lee also emphasized that rather than leaving such issues entirely to court decisions, the executive branch should actively step in to provide clarity through enforcement decrees and other measures.

"Legislation cannot define everything. It is the role of the executive branch to establish specific standards once legislation sets the comprehensive framework," President Lee said. "It is logically flawed to argue that such matters must be settled by court rulings and that the executive branch should not intervene."

He added, "The executive branch is a major national enforcement agency, not a mere errand runner. The Ministry of Employment and Labor needs to provide clear guidelines, and the current lack of such action is a problem."

In response, Minister of Employment and Labor Kim Young-hoon explained, "We are in the process of preparing interpretation guidelines for the field and ensuring that this approach takes root."

He further stated, "Management decisions, such as the decision to build a large-scale semiconductor plant in Gwangju, are judged not to be subjects for labor disputes."

(Photo: Yonhap News)