On the 24th, Kwak No-jung, CEO of SK hynix, said, "Now is the time to come together and strive to create a new future," and added, "I hope that labor and management can quickly restore a cooperative relationship based on trust."
The CEO noted in an internal announcement that there had been much contemplation about how to reasonably determine compensation for performance exceeding the company's surplus profit distribution standards (PS).
Although SK hynix reported its largest-ever performance last year and proposed the highest bonus in history, it seems that this was due to dissatisfaction among some members, including pushback from the labor union over the bonus scale falling short of expectations.
Riding the wave of artificial intelligence (AI), SK hynix has secured its position in the high-bandwidth memory (HBM) market, recording consolidated revenues and operating profits of 66.19 trillion won and 23.47 trillion won, respectively, marking the largest performance in its history.
As a result, it was decided to pay a total of 1,500% in bonuses to members, including 1,000% PS and a special bonus of 500%. This amounts to 75% of the annual salary, marking an all-time high.
Kwak stated, "We have had several discussions with the labor union about appropriate standards and levels, but unfortunately, we have not reached a common conclusion." He added, "Operating profit for 2024 has increased by about 1 trillion won compared to the previous maximum in 2018, excluding Solidigm," and explained, "Based on this, the company decided on a record-high level of 1,500%, reflecting qualitative factors such as past cases and grounds for special bonus payments, the quality of profits corresponding to the increase in the number of employees, achievement of maximum performance, and technological competitive advantage."
Kwak acknowledged, "I know that some may feel dissatisfied with this decision and that there are opinions suggesting it is insufficient compared to last year's performance," and remarked, "Above all, it is unfortunate to see the trust built through much effort between labor and management be shaken."
He continued, "I sincerely thank those who achieved the largest performance in history and created a new chapter," and added, "As CEO, I will reflect more on the happiness of our members and the future of the company."