Samsung Electronics faces a potential 18-day strike at its semiconductor division starting May 21.
The union demands 15% of the division's operating profit for performance-based pay.
Negotiations follow a record surge in profits driven by high demand for AI chips.
Union members are also calling for the removal of an existing bonus cap.
Samsung leadership has resisted the demand for a fixed profit-sharing ratio.
Chairman Shin Je-yoon warned a walkout could cause serious consequences for the South Korean economy.
Shin stated the disruption could lead to production delays, customer loss, and damaged investor trust.