A hot potato: After Samsung came within hours of a damaging chip worker strike, another semiconductor giant is facing its own bonus-related unrest. This time, it's TSMC, whose employees are reportedly discussing unionization and even strike action over rumors that the company could cut performance bonuses despite enjoying record profits from the AI boom.
The anger appears to have been sparked by claims that TSMC is considering reducing some employee payouts by as much as 15%, with staff arguing that the company is asking workers to help pay for its enormous expansion plans.
One report stated that the backlash was further inflamed by comments attributed to CEO C.C. Wei, who allegedly said bonuses were too high and could create a negative public perception, suggesting a 20% to 30% reduction.
TSMC has since tried to calm the situation, saying employee profit-sharing bonuses have not been reduced this year and that it expects bonus growth in 2026 to exceed last year's pace.
Also read: AMD eyes TSMC's A14 node for Zen 7, bringing angstrom-era chips to the data center
TSMC generated first-quarter revenue of NT$1.13 trillion ($35.9 billion) and net income of NT$572.48 billion ($18.2 billion), both company records. Net income rose 58.3% year-over-year, driven largely by relentless demand for advanced chips used in AI accelerators and high-performance computing.
Workers are questioning why their share of the AI revolution could shrink while TSMC is spending heavily on new fabs. The company is said to be building 12 plants across Taiwan, the US, Japan, and Germany as it races to maintain its lead in 2nm and 1.4nm manufacturing.
Samsung narrowly avoided an 18-day strike after reaching a last-minute deal with its union, which had been pushing for a larger and recurring share of semiconductor profits. Before that, Samsung chip workers rejected a one-time bonus worth around $340,000 per employee – they wanted it every year – arguing that SK Hynix had set a new standard by linking payouts more directly to profits.
– Reuters (@Reuters) April 23, 2026
TSMC doesn't have a union, which makes any strike threat much less straightforward. Reports of employees asking whether collective action is legal show how quickly Samsung's fight has become a template. The AI chip boom is making semiconductor companies richer than ever, and their workers are now asking why they can't be richer, too.