"(A control tower for Samsung) is necessary to strengthen the competitiveness of corporations. (As for the Management Diagnosis Office of Samsung Global Research taking on the role of a control tower,) I believe there are human and material limitations. It is hard to say definitively that it is playing such a role."
Chairperson Lee Chan-hee of the Samsung Compliance Committee (JunGamWi) said this while speaking with reporters before the committee's regular meeting at the Samsung Life Insurance Seocho building in Seocho-gu, Seoul, on the 21st, noting, "I have talked about my personal conviction many times, and a fairly large number of Commissioners share the sentiment."
He added, "The issue is not the system but its operation," and stressed again the need to rebuild the control tower, saying, "The JunGamWi will do its utmost to prevent the control tower from becoming an organization for top management or one that carries the risk of colluding with the political sphere."
On the issue of Chair Lee Jae-yong of Samsung Electronics returning as a registered executive, the Chairperson said, "(After the Supreme Court's final acquittal) I have not yet met him and thus could not make a direct recommendation, but not only I, many Commissioners hold a consistent view from the standpoint of responsible management."
Regarding the performance share unit (PSU) plan that Samsung Electronics announced on the 14th it would newly introduce, the Chairperson said, "If there are any illegalities or improprieties, the JunGamWi will make sure to examine and point them out so they are corrected," adding, "Based on my personal review, I judged there were no illegal or improper aspects."
Samsung Electronics plans to implement the PSU plan, which grants treasury shares to executives and employees according to the stock price increase over the next three years. However, some inside the company raised controversy, asking whether it was intended to avoid share cancellation if the Commercial Act is amended. Samsung Electronics has countered that it will make additional purchases of treasury shares for PSU payments.
The Chairperson said, "If there is no illegality or impropriety, yet some are still raising issues, I think this may in a way be a problem of communication," adding, "We plan to urge that communication be carried out smoothly in that regard."
He continued, "Samsung consists of a variety of stakeholders, including shareholders, executives and employees, investors, and creditors, so relationships among executives and employees are not everything. It is necessary to understand the other side and pursue mutual growth," and noted, "We should look at what issues there may be with the PSU from a more macro and long-term perspective."
However, the Chairperson added, "In labor-management relations so far, labor has been the relatively weaker party, so the JunGamWi will examine matters with a focus on labor rights and human rights to ensure some balance is maintained."