THE CRUNCH
About a dozen workers at Micron Technology's plant in Taoyuan, Taiwan went on strike in October in the island's first semiconductor industry strike, after months of negotiations over salaries and bonuses broke down. The one-day action was largely symbolic, but it reflects growing discontent among workers who feel the AI boom's profits are being shared unequally. Micron, the world's third-biggest memory chipmaker, has posted record profits this year on surging demand for AI chips, and its Taiwan workforce produces over 60% of the company's DRAM, the memory used in AI servers.
Unions at Micron's Taoyuan and Taichung facilities have been seeking a profit-sharing agreement similar to those their counterparts at South Korean rivals Samsung Electronics and SK Hynix have secured. Micron announced a deal with the Taichung union on October 22 covering higher salaries, quarterly bonuses and bigger pension contributions, but many members rejected it, saying it was negotiated in secret, and most Taoyuan union members reported being dissatisfied with the terms. The Taoyuan union, a separate entity with more than 2,300 members, can still strike.
The dispute sits within a broader shift. Membership in Micron's two Taiwan unions has surged from around 440 to more than 13,000 in recent months, and TSMC employees earlier this year also discussed unionizing over pay. Labor scholar Wu Yu-ren told Rest of World that strikes in Taiwan have historically been tied to traditional industries, and the Micron actions signal semiconductor workers increasingly organizing for transparency and a fairer share of the value they create. Pan Shih-wei, a former labor minister, said discussions about strikes and profit distribution will become increasingly common.
Micron says it respects workers' lawful rights and is committed to constructive engagement with both unions. Negotiations with the Taoyuan union are continuing. The reporting notes that the impact of a brief stop in production would likely be limited if backup personnel are available for equipment.