Samsung Electronics said Monday it would create a 100 billion won ($85 million) fund for employees who had suffered from incurable diseases, including leukemia, while working at its manufacturing plants for semiconductors and displays. 

“Even though the exact causal relationship (of their illness) has not yet been verified, we will make all-out efforts to solve the issue promptly for the victims and their families,” the company said in a statement. 

Samsung has continued the compensation talks with family representatives over the past eight years. The stalled talks gained new momentum early this year, led by a three-party mediation committee.

Following the mediation body’s recent recommendations, Samsung decided to create the fund to offer compensation for all former workers, including those who were dispatched from suppliers.

People who worked at the company’s semiconductor and LCD production plants between 1996 and 2011 can apply for the compensation package, which includes about 70 percent of two years’ salary and some severance pay.

A total of 12 conditions, excluding miscarriage and infertility, will be considered for compensation. Some genetic diseases will be compensated after additional review by experts. 

The fund also will be used on research and development activities for improving safety within the semiconductor industry, safety consultations for smaller manufacturers and nurturing experts in related fields.

Samsung, however, refused to set up a separate foundation, another key recommendation by the mediation committee, saying: “Rather than establishing a foundation that would also take time, we have decided to complete the compensation process as quickly as possible.”

By Lee Ji-yoon (jylee@heraldcorp.com)



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Former justice Kim Ji-hyung, who leads a three-party mediation body for Samsung Electronics’ talks on disease-stricken workers at its plants, speaks at a meeting held on July 23.  Yonhap