Over half of Korean companies not offering Chuseok bonuses, citing financial stress
이 글자크기로 변경됩니다.
(예시) 가장 빠른 뉴스가 있고 다양한 정보, 쌍방향 소통이 숨쉬는 다음뉴스를 만나보세요. 다음뉴스는 국내외 주요이슈와 실시간 속보, 문화생활 및 다양한 분야의 뉴스를 입체적으로 전달하고 있습니다.
An increasing number of Korean companies is forgoing the traditional practice of giving bonuses for the Chuseok harvest holidays due to financial strains.
A recent survey by job recruitment platform Saramin indicates that Chuseok generosity may be waning among Korean employers. Only 47.7 percent of the 470 companies polled plan to offer incentive bonuses to employees in honor of the upcoming holiday, marking the lowest figure since Saramin began tracking related data in 2012.
When asked their reasoning, 40.7 percent of the companies stated that they'd elected to provide gift sets instead of cash incentives. Others cited factors including a lack of financial capability, lack of contractual obligation, financial jeopardy and failure to achieve first-half goals.
Among the employers that are tightening their belts, 18.3 percent provided cash incentives last year. This suggests that changes in managerial strategies have played a significant role in the decision to eliminate or reduce bonuses.
The average bonus given was 665,600 won ($495). The most common reason cited for offering incentives was employee morale, followed by contractual obligation, employee loyalty and efforts to ease employees' financial burdens during Chuseok. Other minor factors included strong first-half performance and improved financial status.
The survey also showed that 78.3 percent of companies plan to provide gift sets instead of bonuses.
The average value of these gifts is 81,000 won, with popular items, including processed foods like ham and tuna, making up 45.1 percent, followed by fruits, like pears and apples; meat, such as Korean beef and rib-eye; health supplements like ginseng; and personal care items.
Companies that chose not to provide either bonuses or gift sets cited economic downturn, existing bonus structures and company-wide challenges.
BY YOON SEUNG-JIN [yoon.seungjin@joongang.co.kr]
Copyright © 코리아중앙데일리. 무단전재 및 재배포 금지.
- Olivia Marsh, sister of NewJeans' Danielle, to debut next month
- HYBE to respond to NewJeans' ultimatum with 'calm measures'
- MBC sues studios behind upcoming drama 'Jeongnyeon: The Star is Born' over tvN defection
- YG Entertainment chief indicted for smuggling luxury watches
- Fifty Fifty's agency Attrakt to take legal action over Warner Music's poaching attempt
- Cartier appoints Stray Kids' Hyunjin as new brand ambassador
- Astro Sanha remembers Moonbin on fourth anniversary of duo's debut
- Olympic main character Kim Ye-ji bags role in 'Asia' spin-off series
- [WHY] Why do so many Koreans go to university — and is that changing?
- Pledis Entertainment inks deal on promotional content with Jeju