Work & Life Balance Work hours are continuously monitored at Samsung Electronics to promote work-lie balance. In particular, we have introduced a fexible time program or administrative sta so they can set their own work hours to enhance quality o work lie. Work hours at the global production subsidiaries are adequately managed according to local employment standards and the Electronic Industry Citizenship Coalition (EICC) guidelines. Labor Union Policy and Labor Council Samsung’s basic HR policy is summarized in the ollowing statement: “The workers and the company will cooperate or mutual advancement based on the principles o co-existence, co-prosperity and harmony.” Samsung Electronics strives to provide superior working conditions relative to its peers so that employees do not eel the need or a labor union. All o our business sites across the globe have a labor council to acilitate dialogue between labor and management. Other major communication channels include the GWP committee and sa ety council. Each o our business sites in Korea has a worker council. Each worker council holds at least one regular meeting per quarter. The council also gathers when the need arises to discuss matters such as salary adjustments. It enables grievances and requests to be switly conveyed to management so that the necessary corrective measures can be pursued. Due consideration was given to employees’ requests to improve the work environment. In 2010, the worker council addressed several issues through expanding the lexible time program, establishing inrastructure or stress relie, and improving oce environment. Retirement Outplacemen t Program Up through 2010, we provided assistance or 2,216 retiring employees ind new jobs or start a business through the career development centers. In 2010, we signed an agreement with the Korea Federation o Small and Medium Business to help seasoned specialists nd new jo bs at smal l and mid-si ze ente rp rises. In 2011 , w e p lan to oer care er planning courses or incumbent employees. Labor & Human Rights Major Discussion Items • Expanding the exible time program • Encouraging the use of holidays (personal time off) • Improving overtime supervision • Building infrastructure to help employees relieve stress • Revising labor council regulations • Improving the ofce environment * Overseas gures are based on voluntary retirement Turnover Rate (Unit: Persons, %) Korea Overseas 2008 2009 2010 13,157 8,078 11,230 4,539 5,097 6,667 15.3% 4.9% 11.0 6.0 17.0 7.7 28 I SAMSUNG ELECTRONICS