SK Hynix is taking steps to improve internal communication amid ongoing challenges related to this year's wage and collective bargaining negotiations. The company aims to ensure that employees receive appropriate compensation for their contributions.
On September 2, SK Hynix held a company-wide live-streamed event titled 'Together for Better Communication' at its Bundang facility. This marked the first official communication between management and employees since the labor-management tentative agreement was rejected on August 25.
Jin Bo-geun, head of corporate culture, explained the rationale behind the proposed changes to the performance bonus system. He stated, "For the compensation system to be sustainable in the long term, shareholder value and employee interests must be harmonized," revealing that the company is considering distributing part of the performance bonuses in the form of company stock. This approach aims to balance external perceptions of the compensation system and shareholder interests while ensuring that employee contributions are fairly recognized.
Previously, SK Hynix's labor and management had reached a proposal for a 6.3% wage increase, with 40% of the excess profit distribution (PS) to be paid in cash and 60% in company stock. However, this proposal was rejected in a vote by union members. The shift from a fully cash payment last year to a stock-inclusive approach within a year is believed to have influenced employee voting.
Kwak No-jung, CEO of SK Hynix, also attended the event and hinted at the possibility of flexible negotiations with employees. He remarked, "Since we laid the groundwork for a significant agreement last year, I will gather deeper insights from employees on the finer details and work together to find solutions."
He added, "This process is about enhancing the company's pride and building a stronger future. Management will do everything possible to ensure that employees and the company grow together."
* This article has been translated by AI.
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