The Labor Union of Samsung Biologics (Union Chairman Jaesung Park) has filed complaints with the Ministry of Employment and Labor and initiated a criminal indictment against the company, asserting that its "ESG management" is merely a hollow slogan. The union's actions are in response to a series of alleged legal violations and unfair labor practices by the company.

The union warned that if the company's core value of "trust" is compromised, it could severely damage its CDMO (Contract Development and Manufacturing Organization) business, which relies on orders from global pharmaceutical and biopharmaceutical companies. The union called for the company to take responsible action.

▲‘Ignoring Labor Laws: Three Complaints Filed, Crisis Deepening

The Samsung Biologics Labor Union has filed a total of three complaints and reports with the Ministry of Employment and Labor. In addition to a previous complaint regarding a violation of the Labor Standards Act (unauthorized and unfavorable changes to rules of employment), the union recently filed two new complaints concerning unfair labor practices: a refusal to bargain and interference in union affairs.

The union claims that the company unilaterally changed its rules of employment, which significantly impact employees, without the union’s consent. The union also alleges that the company has engaged in unfair labor practices by evading negotiations and interfering with union operations. The union emphasizes that these actions clearly demonstrate the company's complete disregard for legal compliance and ethical management.

▲Violation of Whistleblower Protection Act: ESG Is Just a Facade

The union also revealed that it has criminally indicted Vice President Kun Lo for violating the Public Interest Whistleblower Protection Act. The union confirmed an instance of fraudulent completion of chemical safety education within the company and reported it to Vice President Kun Lo, the Chief Safety Officer (CSO), for the public good.

However, after receiving the report, Vice President Kun Lo allegedly shared its content with the supervisor of the reported employee. The supervisor then passed this information on to the employee, ultimately revealing the whistleblower's identity.

The company has not taken any action beyond a statement of regret from Vice President Kun Lo, despite a clear violation of the Public Interest Whistleblower Protection Act. The union criticized this behavior, pointing to a similar incident earlier this year involving a data integrity violation. In that case, the union claims the company focused on identifying the whistleblower rather than resolving the issue, which the union argues discourages internal reporting and promotes a culture of retaliation.

▲ Warning: Trust-Based CDMO Business at Risk

Samsung Biologics has established itself as a world-class CDMO company. However, the CDMO business cannot be sustained by production capacity alone. Global pharmaceutical clients prioritize a company's transparency, trustworthiness, and compliance. The union claims that this fundamental corporate value of trust is now wavering. In August, the union withdrew its participation from the "Samsung Biologics Way," a corporate culture improvement project, citing a lack of trust.

Union Chairman Jaesung Park stated, "The company's repeated illegal actions and unethical attempts to expose whistleblowers reveal the true nature hidden behind the flashy packaging of 'ESG management.' This behavior fundamentally shakes the company's credibility, leading us to question whether global clients will continue to entrust their CDMO production to a company stained by legal violations and whistleblower suppression".

He added, "The values of 'co-existence' and 'compliance management' emphasized by Samsung Chairman Jae-yong Lee are being completely disregarded. The irresponsible attitude of the management will cause a simultaneous decline in corporate value and brand image, and that responsibility will fall squarely on the current CEO's shoulders".

The Samsung Biologics Labor Union is demanding a sincere apology, comprehensive preventative measures, and genuine efforts from the company to build a healthy labor-management relationship. The union stated that it will use all legal means necessary to fight for a resolution.