00:00It's Benzinga bringing Wall Street to Main Street.
00:02Samsung Electronics' shares surged nearly 8% on Thursday
00:06after the company reached a last-minute deal with its union
00:09to avert a planned 18-day strike involving about 48,000 workers, according to Reuters.
00:16Under the deal, Samsung will set aside about 10.5% of operating profit
00:20for special bonuses in its chip division,
00:23down from the union's initial demand of 15%.
00:26Bonuses will be paid in company stock for at least 10 years,
00:29contingent on the chip division hitting specific profit targets.
00:33A memory chip worker with a base salary of $80,001,000
00:36could receive a bonus of around $416,000 this year, mostly in stock.
00:41The benchmark CoSpy also rose nearly 8%.
00:44An analyst noted the agreement raised labor costs,
00:48but said paying bonuses in stock would reduce Samsung's immediate financial burden.
00:52For all things money, visit Benzinga.com.
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