Samsung chip engineers feel militarized, underpaid, and ignored

[Update] Samsung's full statement:

“Samsung Electronics is focused on reinforcing its technological competitiveness and fostering a healthy workplace culture. We ensure engagement with our employees is based on fairness, transparency and flexibility. We are committed to providing diverse opportunities for career development and a safe working environment that strictly adheres to local rules and regulations. We also implement a clear performance-based compensation system to support sustainable growth.“

Original story follows:

Culture is often blamed for many of the problems that Samsung's chip division faces. A new report paints a bleak picture, with engineers speaking out against a hierarchal structure that feels militarized, dwindling performance bonuses, and an inadequate focus on their concerns.

Working at Samsung has long been a dream job for people in South Korea but that shine seems to have worn off, particularly for those in its chip division, to the extent that they're actively jumping ship to companies like SK Hynix, Micron, Intel, and others.

Rest of World's report quotes Han Ki-bak, a chip design engineer, who saw a colleague collapse in the office after pulling many late night shifts. Han continues to pull all-nighters, revealing that while one engineer that would previously handle a single part of chip design, now juggles two or three. “At this rate, I feel like I'm going to die,” Han said.

10 current and former Samsung engineers revealed the longer working hours, lower bonuses, and intense workloads have made many engineers move to local rival SK Hynix, while some have gone to Micron and Intel in the US, and a few have even taken up positions at China's CXMT and YMTC.

Leaving Samsung for a rival was once considered taboo, but one process engineer revealed that “openly applying to SK Hynix has become our culture,” adding that the reason why Samsung is falling behind is because all the talented engineers are leaving. Even his manager encouraged a move to SK Hynix, reportedly saying, “Get out of here fast!.”

Engineers are quoted describing Samsung's workplace culture as “militaristic” and “hierarchical.” Managers are given impractical targets who then pressure engineers to meet them, even if that requires fabricating or distorting data. It's even claimed that some engineers and managers have inflated yield rates and underreported defects to meet targets.

“Whenever we have a problem, we wipe it out military-style, instead of finding a proper solution,” one employee said, “It’s called the Samsung way.”

Employees in Samsung's chip division are used to being handsomely rewarded. However, when revenues declined sharply in 2023, they didn't get a bonus. The employee bonuses paid last year were 72% less than previous years and as the division's finances haven't improved significantly, there's no hope that things will change in the near future.

A Samsung spokesperson told the scribe that it remains focused on “reinforcing its technological competitiveness and fostering a healthy workplace culture.” On bonuses, the spokesperson said that Samsung has a “clear performance-based compensation system” that supports sustainable growth. The spokesperson also added that the company ensures engagement with its employees on the basis of “fairness, transparency, and flexibility.”