CHENNAI: Bringing an end to a period of simmering unrest, Samsung India and the CITU-backed Samsung India Workers' Union (SIWU) on Monday signed a wage agreement following successful negotiations held in the presence of labour minister CV Ganesan.
Under the settlement, workers will receive a salary increment of Rs 18,000 spread over three years. “For 2025–2026 fiscal, a raise of Rs 9,000 will be implemented, followed by an increase of Rs 4,500 each in 2026–2027 and 2027–2028,” the minister said.
“In addition, workers will be eligible for an experience-based special increment ranging from Rs 1,000 to Rs 4,000 over the three years,” he added.
Regarding the revocation of the 25 suspended workers, the minister noted that discussions would continue. “Talks on the suspended workers will be taken up separately by the Labour Commissioner,” he said.
The agreement comes after months of unrest at Samsung’s Sriperumbudur plant near Chennai, which employs around 1,800 workers. In September 2024, nearly 1,000 workers affiliated with the SIWU staged a 37-day strike demanding higher wages, better working conditions, and formal recognition of their union. Though the strike ended in October after a partial resolution, tensions resurfaced in February 2025 when several union members were suspended, prompting renewed protests and sit-ins. The strike was eventually called off on March 7 following state government intervention.
CITU president A Soundararajan stated that Samsung had previously offered workers a flat hike of Rs 3,000. “Thanks to the formation of the union, workers will now receive a total hike of Rs 18,000 and improvements in other incentives,” he said.
A Samsung India spokesperson said, “We are pleased to announce a mutual agreement to enhance wages and benefits for the next three years."