Vice Chairman Kim Gwang-il of MBK Partners, who also serves as Homeplus Co. co-CEO, said on the 30th regarding the "Homeplus Co. crisis," "In every step, we will put worker job security first and work to prevent liquidation."
Kim made the remark at a National Assembly inspection held by the Climate, Energy, Environment and Labor Committee (hereafter the climate and labor committee) on the afternoon of the same day, after Democratic Party of Korea lawmaker Kim Tae-seon noted, "If Homeplus Co. is liquidated, workers will be harmed."
Kim appeared in place of Chairman Kim Byung-joo that day. Although the climate and labor committee had originally summoned Chairman Kim as a witness, he submitted a statement saying he would not attend because he is only responsible for raising investment funds and does not take part in managing individual portfolio companies such as Homeplus Co. Chairman Kim leads MBK Partners, the largest shareholder of Homeplus Co.
Democratic Party lawmaker Kang Deuk-gu said to Kim, "There are several Picasso prints in the MBK conference room, and Vice Chairman Kim, whose hobby is collecting luxury cars, owns several cars," adding, "While MBK enjoyed Picasso prints and rode in luxury cars, living it up, Homeplus Co. workers were sleepless and on pins and needles. Small business owners struggled for fear they would not be paid for deliveries."
In response, Kim bowed his head and said, "We are currently selling (the prints, luxury cars, and so on). I am sorry and apologize for the Homeplus Co. situation. I offer my deep apologies to everyone suffering due to Homeplus Co.'s rehabilitation." He added, "We will do our best to ensure there are no unpaid wages and that small suppliers are paid for deliveries."
Warnings were also raised about the possibility that MBK Partners could liquidate Homeplus Co. Homeplus Co. is currently up for sale. However, if no acquiring corporations emerge, liquidation will be unavoidable. There are concerns that if it is liquidated, more than 100,000 people—including Homeplus Co. employees and in-store tenants—will lose their jobs.
Asked by People Power Party lawmaker Yoon Sang-hyun about the possibility of NongHyup acquiring Homeplus Co., Kim replied, "It is not my place to speak to a particular buyer's position, but it is true there would be synergy."
Kim said, "From rehabilitation through mergers and acquisitions (M&A), prioritizing worker job security in every step is the shared view of everyone at MBK Partners, including Chairman Kim Byung-joo."
Lastly, Kim said, "Once again, I offer my deep apologies to the workers, stakeholders, suppliers, and the public who are suffering because of Homeplus Co.'s rehabilitation."
Meanwhile, some members of the National Assembly's climate and labor committee expressed strong regret over Chairman Kim Byung-joo's absence from the inspection.
Democratic Party of Korea lawmaker Kim Tae-seon said, "The person responsible for deciding Homeplus Co.'s future is Chairman Kim. Homeplus Co. is now standing at the edge of a cliff," adding, "If liquidation becomes a reality, workers will lose their jobs and local economies will inevitably collapse. MBK keeps saying it will strive to maintain employment, but who can trust a promise of jobs when a sale is difficult?"
Justice Party lawmaker Jeong Hye-kyung said, "Since August, three of the four major social insurance contributions have already been in arrears at Homeplus Co., and it is even facing the risk of power being cut off due to unpaid electricity bills," adding, "Although October wages were paid in full, as business conditions rapidly deteriorate, the likelihood that wage arrears will become a reality from November is very high." She continued, "We must hold Chairman Kim accountable for not appearing and file a complaint."
Climate and labor committee Chair Ahn Ho-young answered, "We will decide whether to file a complaint over Chairman Kim Byung-joo's absence from the inspection after consulting with lawmakers and floor leaders from both parties."