About 22,000 employees of Homeplus, which is undergoing court receivership, and employees of partner companies emphasized the necessity of an early acquisition and merger (M&A) and requested government support.
The Homeplus Labor-Management Council, an employee representative organization, submitted an appeal to the presidential office on the 30th, urging that the M&A should be swiftly pursued before the approval of the rehabilitation plan. A total of 21,888 individuals, including employees working at Homeplus stores nationwide, Express, the online division, logistics centers, and headquarters, signed this appeal.
The council noted, "This conveys our earnest will to protect our livelihoods and workplaces in an uncertain situation," adding, "If the rehabilitation process takes a long time, the value of corporations will decrease, and the possibility of recovery will diminish, so the M&A must be realized before approval."
It added, "We hope the government recognizes this matter not just as a simple management issue, but one that encompasses employment, consumer livelihood, and local economy."
The council expressed concern, saying, "Contrary to employees' expectations, there appears to be little progress in the M&A before approval, increasing employees' anxiety. It seems realistically impossible for a large-scale M&A of a discount store with 7 trillion won in sales to be achieved without government assistance."
It emphasized, "We desperately need the attention of the president and the government as we are on the brink of a cliff," appealing, "We earnestly request the government to take an active interest in ensuring that Homeplus can survive by welcoming a new owner through the M&A."
Homeplus filed for corporate rehabilitation in court in March due to a liquidity crisis and has received approval from the court last month to push forward with M&A before the approval of the rehabilitation plan. Currently, the sales process to find a new buyer is underway.