Samsung’s operating profit in the January to March quarter jumped about 750% from a year earlier.
Booming demand for AI chips pushed its stock market market valuation past $1tn (£744bn) in May.
Last year, rival SK Hynix abolished its bonus pay cap for 10 years.
This led to bonuses more than three times higher than those offered to Samsung employees. Some Samsung workers jumped ship to SK Hynix as a result.
Samsung then proposed that memory chip workers receive bonuses of 607% of their annual salary – higher than SK Hynix – according to transcripts of wage negotiations seen by Reuters.
But employees in other businesses would only receive bonuses of 50% to 100%, according to the documents.
The union also wanted Samsung to abolish a bonus cap of 50% of annual salaries and allocate 15% of annual operating profit to a bonus pool distributed to workers.
Samsung bosses previously flagged that the strike could impact South Korea’s economy more broadly, because of lower sales, investment outflows and lower tax revenue.
In the statement issued after the tentative deal was agreed the company said: “With a humble attitude, we will build a more mature and constructive labour-management relationship to ensure that such an incident never happens again.”
On Thursday, Samsung’s shares rose by more than 8% after the announcement, while South Korea’s Kospi stock index also jumped by over 8%.
