This photo, from Sept. 14, 2020, shows office workers out for lunch in the central Seoul ward of Jongno. (Yonhap)
SEOUL, Feb. 8 (Korea Bizwire) — While conglomerate employees have always had complaints about bonus payments, the issue has once again reached a head after this year’s raging disputes between management and labor unions have spotlighted the importance of rewarding systems and internal communication.
While SK hynix Inc., South Korea’s No. 2 chipmaker, took the most serious blow this year, the controversy is spreading to Samsung, LG and other conglomerates.
The looming controversy looks exceptionally striking, most likely because of the MZ Generation which tends to uphold fairness and practical interests.
The MZ Generation encompasses millennials and Generation Z, referring to those born between 1980 and 2010.
Unlike previous generations, many younger Koreans don’t intend to work for a single company for their entire career, and are more likely to speak their mind if they believe there are violations of principles or benefits at hand.
Also, diversifying outlet channels, such as company bulletin boards, social networking platforms, and business communities have allowed these concerns to spread like wildfire, garnering ample publicity.
Companies are feeling rather uncomfortable revealing information about bonus payments since they are linked to the company’s investment plans and other management confidentialities.
Nevertheless, they generally agree that improvements are being called for.
“It’s not just about how much, but also about the mechanism, standards, and transparency,” said a conglomerate official.
Some say that this controversy over bonus payments is ‘out of their league,’ claiming that it only pertains to few employees.
Conglomerates in fields of oil refining, aviation, and steel have all suffered from poor performance following the coronavirus outbreak, slashing or even cancelling bonus payments.
Some have argued that the issue of bonus payments at conglomerates is also exacerbating the sense of deprivation among employees of smaller businesses.
H. M. Kang (hmkang@koreabizwire.com)
