Micron Tech chipmaker union in Taiwan gets OK to strike

By Wen-Yee Lee

TAIPEI, Oct 7 (Reuters) - A ‌Taiwan union representing workers ​at ​Micron Technology said on Wednesday it had secured authorisation from its members to strike over a dispute concerning the company's bonus scheme, escalating a labour conflict at the chipmaker's largest manufacturing ‌hub.

Micron is the latest chipmaker to face labour unrest as employees seek a larger ⁠share of the AI, which has propelled leading memory producers to record profits and margins.

The union, which represents workers at Micron's ‌operations in the northern city of ‌Taoyuan, said 1,994 members, or 99% of those casting ballots, voted in favour of a strike. It said details of any strike, including its timing, were still under discussion.

Taiwan is a crucial production centre ​for Micron's DRAM and high-bandwidth memory (HBM) chips, key components in AI servers. A labour action could amplify supply concerns in an already tight memory-chip market.

The union said it still hoped the company would ⁠propose a concrete profit-sharing proposal for employees before it resorted to a strike. It is encouraging members to take a day off on October 19 ​to join a rally in Taipei, which it said would not be a strike.

Micron employs about 15,000 people in Taiwan, with separate unions representing workers at its ​Taoyuan and Taichung operations.

Mediation with the Taoyuan union ended without ‌agreement in September, while the Taichung union remains in negotiations.

Together, the two unions represent more than 80% of Micron's Taiwan workforce.

Micron in September announced fiscal 2026 rewards for ⁠more than 60,000 employees globally following what it described as an "extraordinary year" for the company. That included Taiwan employees receiving a T$1 million ($31,386) cash bonus.

However, the Taoyuan union said the package failed to address its demand for a permanent profit-sharing ⁠mechanism and criticised Micron for announcing them while labour mediation was underway without first reaching an agreement with the union.

Micron, ​which has not linked its fiscal 2026 rewards to the labour dispute in Taiwan, said on Wednesday it took employees' concerns seriously and remained committed to engaging with its unions in good faith.

"We will continue to work through the established ‌dialogue and mediation processes," the company said, adding that it would hold a further mediation session with the Taichung union later this month to work towards a ‌constructive solution.

Taiwan's labour ministry said in a statement to Reuters that it respected the union's strike vote and urged ⁠Micron to consider workers' concerns, put forward ‌concrete proposals and negotiate with the ​union.

Shares in Micron were down more than 2% in US premarket trading on Wednesday.

($1 = 31.8610 Taiwan dollars)

(Reporting by Wen-Yee Lee; Writing by Ben Blanchard; Editing by Miyoung Kim and ‌Kim Coghill)

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