Homeplus announced on October 15 that it has closed applications for voluntary retirement earlier than planned due to a surge in employee participation.
The company had initially set the application period to run until October 22, but it officially ended the process on October 14, just eight days after it began on October 7.
This voluntary retirement program, aimed at employees at both the headquarters and stores, includes unpaid wages, holiday bonuses, and severance pay. The planned retirement date is at the end of this month, with severance payments expected to be made by November 14.
Despite the absence of additional severance pay, the high number of applicants reflects significant anxiety among employees due to the company's deteriorating financial situation.
Homeplus has been facing serious financial challenges, struggling with poor sales performance and difficulties in selling its hypermarket division.
The number of operational stores has also drastically decreased, from 126 before entering corporate rehabilitation to just 67 after closing underperforming locations. Approximately half of the workforce is currently on paid leave. The company has stated that voluntary retirement is essential for reducing fixed costs and improving management efficiency.
* This article has been translated by AI.
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