By Wen-Yee Lee
TAIPEI, Sept 11 (Reuters) – Micron Technology said on Friday its employees in Taiwan would receive bonuses equaling 35 to 68 months of pay for fiscal 2026, with minimum cash compensation of T$1.7 million ($53,809.39), as the U.S. chipmaker contends with an ongoing labour union dispute.
Micron said the payouts to employees were its strongest ever and that more than 60,000 staff globally will receive fiscal 2026 rewards “following an extraordinary year for the company”.
The announcement comes after unions representing around two-thirds of Micron’s workforce in Taiwan signaled widespread support among members for a strike.
The Taoyuan union said in a statement on Friday that it had not reached a consensus with Micron in their ongoing dispute and that it was still seeking changes to the company’s rewards system that would allocate 15% of operating profit to employee bonuses.
“If the company does not respond to these demands, the union will continue moving towards a strike,” it said.
The rewards include a T$1 million ($31,652.58) cash bonus for Taiwan employees who joined before August 29, 2025, for fiscal 2026, the U.S. memory maker said.
For entry-level engineers, total rewards average T$3.4 million, including an average of T$2.9 million in cash compensation, with the remainder comprising equity at grant value, the company said.
Every employee will also receive an annual equity grant, Micron said.
NO AGREEMENT WITH UNION
Micron employs about 15,000 people in Taiwan, one of its most important manufacturing hubs, and said it has invested more than T$1.6 trillion in the island.
The U.S. memory maker is looking to avoid being dragged into a crisis similar to what its Korean rival Samsung Electronics faced in May, when a planned 18-day strike by as many as 48,000 union members was called off after last-minute negotiations and a successful deal that created a special bonus pool worth 10.5% of the chip division’s operating profit, subject to profitability targets.
Back then the prospect of a stoppage at the world’s largest memory-chip maker had raised worries about chip supplies and broader economic fallout in Asia’s fourth-largest economy.
Micron’s Taiwanese unions previously said profit-sharing arrangements at Samsung and SK Hynix had widened the gap between Micron workers and their South Korean peers.
($1 = 31.5930 Taiwan dollars)
(Reporting by Wen-Yee Lee; Editing by Muralikumar Anantharaman, Saad Sayeed and Eduardo Baptista)
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