Choi Tae-won and SK Hynix return all salary.. To resolve complaints about performance pay

[이데일리 이승현 기자] SK Group Chairman Choi Tae-won announced that he will return all the salary he received from last year. This is a remark that was made to alleviate the recent complaints from SK Hynix’s incentives over last year. It means that he will return his annual salary and share it with SK hynix employees who are dissatisfied with the incentives.

SK Group Chairman Choi Tae-won is greeting the M16 completion ceremony held at SK Hynix headquarters in Icheon, Gyeonggi-do on the 1st. (Photo = Yonhap News)

Chairman Choi’s remarks on returning his annual salary came from the completion ceremony of the M16 held at SK Hynix’s Icheon headquarters in Gyeonggi-do on the 1st.

According to SK Hynix, after giving a congratulatory remark about the M16 fab, Chairman Choi said that he was aware of the fact that in-house complaints related to incentives were being made.

Chairman Choi said, “I am well aware of the problem related to PS (Excess Profit Distribution), and I think it is a regrettable task that needs to be overcome. I will.”

Chairman Choi added, “We needed more empathy and communication on the PS issue,” and added, “I will try harder for the happiness and growth of members.”

Chairman Choi received an annual salary of 3 billion won from SK Hynix as of 2019. It received 1.75 billion won in the first half of last year, and it is estimated that the annual salary to be returned to the company will be about 3 billion won.

SK Hynix announced on the 28th of last month that based on last year’s semiconductor performance, it will pay incentives in the form of PS at the level of 20% of annual salary to employees. PS is an incentive paid when the previous year’s performance exceeded the target profit.

Due to poor performance in 2019, SK hynix did not pay PS at the beginning of last year, but instead gave employees a special contribution to future growth equivalent to 400% of the basic salary.

However, when it was announced last year that the PS was about 20% annually, there was a complaint inside SK Hynix that “the company’s performance was good last year, but the amount was too small.”

It is known that SK Hynix is ​​considering the usage of the annual salary returned by Chairman Choi.

The company explained, “Chairman Choi has been thinking about and sympathizes with the recent controversy over the incentive pay.”

.Source