LOTTE Department Store will implement the 'professional growth-centered HR (human resources) system,' which focuses on job and expertise, starting next month, with employee consent.

View of the Lotte Department Store Main Branch. /Courtesy of Lotte Shopping

According to the retail industry on the 29th, in a consent survey conducted for employees regarding the expertise-centered HR system, which was held until the 27th, 2,905 out of 3,047 participants (95.3%) agreed. Consequently, LOTTE Department Store will introduce this system starting next month.

This is part of the personnel and wage system reform that the LOTTE Group has been pursuing since last year. Until now, LOTTE applied a seniority-based system (salary system) where wages are determined according to years of service.

The new HR system evaluates and rewards based on the expertise, difficulty, and responsibilities of the job, regardless of individual years of service or rank. Promotions can occur through a separate level-up assessment, independent of years of service.

To implement this, LOTTE conducted a job analysis process that classified the difficulty and importance of each affiliate's jobs into five grades, from level 1 to level 5, since last year.

To strengthen job expertise, the LOTTE Group is sequentially introducing job-based HR systems by subsidiary. LOTTE Wellfood has also been implementing the relevant system since last month.

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