# Micron Adds Quarterly Profit Sharing With Cash and Stock Awards

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/38278
Published: 2026-10-22T19:45:08.000Z
Updated: 2026-10-22T19:45:08.000Z
Section: Business

> The program starts in fiscal 2027 and applies worldwide. Taiwan employees will also receive higher retirement contributions and three additional paid days off.

Micron plans to begin a quarterly profit-sharing program for its global workforce in fiscal 2027, adding a payout tied to company performance as labor talks continue with unions in Taiwan. Each award will be split evenly between cash and stock, with the stock portion becoming fully available after one year.

Cash payments will follow the release of quarterly financial results. The stock portion will accumulate quarter by quarter. Micron has not disclosed what share of profits will fund the pool, and the new awards will be added to the existing annual incentive program.

The calculation will be based primarily on after-tax net income minus forecast capital spending for the following quarter. Micron will use fiscal 2026 operating performance as a baseline. If performance reaches 1.5 or two times that level, the pool generally is expected to rise in proportion, though the company plans to retain flexibility for unexpected investments.

The quarterly plan will take over the profit-linked portion of the annual incentive program, while its strategic-goal component will remain annual. Micron Taiwan Chairman Lu Donghui said the formula is tied to public financial statements and that management would not change awards arbitrarily.

The program covers more than 60,000 employees worldwide, including about 15,000 in Taiwan. For Taiwan employees, Micron also plans to raise its retirement contribution rate from 8% to 10%, add three paid days off and make a structural pay adjustment to address cases where newer employees at the same rank earn more than longer-tenured colleagues. The adjustment is due by the second quarter of fiscal 2027, around February or March, with Micron aiming to complete it before Lunar New Year.

Micron signed an agreement with its Taichung union on Oct. 21, but its Taoyuan union has not signed. Eleven Taoyuan union officials began a [24-hour strike on Oct. 22](<https://www.tokenpost.com/news/business/37958>) as the dispute continued. The union had sought profit sharing based on 15% of operating profit and a specific proposal for a one-time bonus.



## Links in this article

- [24-hour strike on Oct. 22](https://www.tokenpost.com/news/business/37958)
