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Friday, March 19, 2021

LG Electronics to yank up salary by 9% and LG Display by 6-7% - Pulse by Maeil Business News Korea - Pulse News

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LG Electronics Inc. will hike basic pay by 9 percent this year, the largest in a decade, and LG Display Co. by 6 to 7 percent as they join other IT employers trying to indulge engineers amid heated competition over software brain power.

LG Electronics said on Thursday that the company and the labor union agreed on a 9-percent increase in this year’s salary. The last time annual salary base was raised this much was in 2011. The annual pay had risen 4 percent on average over the past three years.

The starting salary for each job level was also adjusted upward with an annual salary for entry-level jobs upped by 3 million won ($2,650) to 46 million won.

The new pay rule will be reflected from March paycheck.

In addition, the company is revamping employee benefits. Each household with children will receive a new laptop. Another family member can receive a medical checkup if the employee’s spouse chooses to skip one.

LG Display said its management and the labor union also agreed on 6 to 7 percent increase in this year’s salary. The increase is still little compared to 10-percent raise the company had given in early 2010s when the display market boomed but a significant jump from the 1.9-percent raise last year.

LG Display that had recorded losses for several years revered to a profit in the third quarter of last year and extended the black figure in the following period. Its annual figure still was in the red with 29.1 billion won operating loss but almost halved from a year earlier.

The two companies’ decision to hike salary comes came amid heavy competition over brain power in the country’s technology, ITC and creative industries.

By Lee Jong-hyuk, Park Jae-young and Cho Jeehyun

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]

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March 19, 2021 at 08:53AM
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LG Electronics to yank up salary by 9% and LG Display by 6-7% - Pulse by Maeil Business News Korea - Pulse News

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