The US memory-chip giant acts following trade union pressure in Taiwan to share record gains from the artificial intelligence boom.
US memory-chip manufacturer Micron Technology is set to introduce a quarterly performance-linked bonus scheme for its global workforce starting in fiscal 2027, according to a report by Reuters. The decision follows union agitation in Taiwan demanding that staff share in the substantial windfalls generated by the surge in artificial intelligence (AI) hardware demand.
The incoming quarterly arrangement will run alongside Micron’s existing annual incentive scheme. Unlike South Korean competitors Samsung Electronics and SK Hynix, Micron has chosen not to commit to a fixed share of profits or disclose a total payout fund.
Instead, the quarterly bonus pool will depend on operational financial performance, determined by deducting projected capital expenditure for the upcoming quarter from net profit after tax. The company confirmed that fiscal 2026 will serve as the benchmark for these calculations.
Bonus distributions will be structured in two equal tranches: 50 per cent will be paid in cash immediately following quarterly earnings reports, whilst the remaining half will be awarded in equity vesting after 12 months. Taiwan represents a critical manufacturing hub for Micron, housing roughly 15,000 workers dedicated to producing high-bandwidth memory chips for AI servers.
Alongside the global scheme, Micron is enhancing local compensation packages in Taiwan to maintain regional competitiveness. On 1 December 2026, monthly shift allowances for day-shift personnel will treble from 46 USD to 138 USD. The firm is also raising employer pension contributions from 8 per cent to 10 per cent, introducing three extra days of paid annual leave, and implementing structural base-salary adjustments.
On a broader scale, Micron confirmed it will also raise the maximum payout cap on its global annual incentive scheme, which remains tied to long-term strategic objectives.
