Major banks have confirmed 200% incentives thanks to’Young Klok and Debt’

Input 2021.01.24 14:18

As the demand to buy a house with ‘Young Klein (meaning to draw debt to the soul)’ and invest in stocks through ‘debt investment (investing through loan)’ increased rapidly, major banks were found to have divided 200% of incentive pay.

According to the financial sector on the 24th, the labor and management of Shinhan Bank, NH Nonghyup Bank, Woori Bank, and KB Kookmin Bank concluded wage and collective agreements (those negotiations) in turn from the end of last year until recently. These banks’ incentive pay is 180-200% of normal wages including basic pay, which is slightly lower than or similar to the previous year.

Kookmin Bank and Nonghyup Bank paid 200% of the same as the previous year, and Shinhan Bank paid 180% of bonuses, down 10% points. Shinhan Bank pays 30% of 180% in stock form around March. Woori Bank decided to determine whether or not to pay the special bonus level after the net profit was confirmed last year.

As for the wage increase rate, all four banks’ labor and management accepted the 1.8% previously agreed upon by the financial union and the financial industry employers’ council. In addition, it was decided to donate 0.9%, or half of 1.8%, to the public welfare foundation.

Although the rate of wage increase is 0.2 percentage points lower than that of the previous year (2%), an analysis shows that the total amount of payment was similar to or rather increased from last year, as encouragement or condolence money was paid separately from incentives. Shinhan Bank paid 1.5 million won in cash as a special consolation fund at the end of last year. Kookmin Bank also paid 1.5 million won as an encouragement.

In addition, the Nonghyup Bank decided to improve the welfare system, such as expanding the allowance for special work places and improving domestic travel expenses.

In the aftermath of the novel coronavirus (Corona 19), economics in major industries became difficult, but profits in the financial sector increased. This is because loans have increased significantly due to business difficulties of some companies and self-employed people and a surge in demand for real estate and stocks.

Until the third quarter of last year, the growth rate of total KRW loans at major banks was the highest at 9.9% at NH Nonghyup Bank and 8.7% at KB Kookmin Bank. Shinhan Bank and Hana Bank loans increased by 7.7% and 7.4%, respectively, while Woori Bank increased by 6.8%.