Micron Taoyuan union rejects up to 68 months' pay

Micron Technology said its Taiwan direct labour workers will receive total rewards equivalent to 35 to 68 months of pay for fiscal 2026, but a union at its Taoyuan plant rejected the proposal and said it would keep moving toward a strike unless the company addresses its bonus system.

The US memory chip company said the package includes minimum cash compensation of NT$1.7 million, or US$53,700. Micron said it has about 15,000 team members and more than NT$1.6 trillion invested in Taiwan, where it produces around 50 to 60 percent of its chips.

Micron has been in talks with two labour unions representing nearly 12,000 workers at plants in Taoyuan and Taichung. The unions are seeking a one-off bonus of 83 months' salary and a permanent system allocating 15 percent of the company's operating profits to worker bonuses, paid quarterly rather than annually.

The Taoyuan union said Friday that Micron had sidestepped discussion of the bonus system. The unions have told AFP that if government-mediated negotiations that began in early September fall apart, workers will be asked to vote on whether to strike. The unions said an earlier internal survey showed about 80 percent of members supported a strike.

The dispute comes as chip companies benefit from demand for artificial intelligence technology and memory chips. Micron posted record revenue of US$41.5 billion for the fiscal third quarter of 2026.