Samsung Electronics has agreed to subject its factories for this to accept blame for cancer, a major concession calls.
Samsung’s brand has endangered at a period when it’s attempting to preserve investor confidence amid slowing smartphone deal and getting a leadership transition after the incapacitation of group patriarch Lee Kun-hee.
A year ago, Samsung declared a Won100bn ($83m) fund to be utilized for settlement to sick former workers in what it called a goodwill gesture, along with preventative measures.
Samsung’s statement that it is going to create an independent “ombudsman” team, as advocated from the arbitration committee, addresses a vital demand of Sharps, the activist group. It’d blown off the previous proposition to deploy a review team made by the firm, saying that this type of team’s freedom could be defendant of Samsung.
Samsung said it would “faithfully apply” recommendations in the ombudsman team, that will scrutinize its factories during the following 36 months.
Sharps said it might continue its demonstrations outside the Seoul headquarters of Samsung and will not support the compensation payments until its remaining requirements are satisfied, including an admission of responsibility for the workers’ illnesses.
The courts of South Korea have found a causal connection between four instances of cancer or aplastic anaemia and exposure to dangerous materials in Samsung plants. But Samsung says there is not any evidence of a connection, noting that while studies have found elevated rates of radiation and substances these were within legal limitations.
Instead of dispensing it — sharps also needs Samsung to give control on the settlement to a completely independent body — another of the arbitration committee’s propositions.
Samsung said that more than 150 individuals had applied because of its programme, of whom financial support has been accepted by more than 100, in return which is why they waived their right. “Along using the financial aid, every receiver has received a heartfelt message of empathy from Samsung’s CEO,” it said.
“Samsung is simply striving to settle the matter with cash as promptly as you possibly can,” he said.