The addresses and access codes for dedicated sites that sell companies' own products at a discount to employees are spreading mainly on social media (SNS). With gift demand rising ahead of the Lunar New Year holiday, some products are even being bought in bulk. The legal community, however, noted that sharing them externally in violation of company rules could carry legal liability.
◇50% off for employees... access codes exposed
On the 11th, posts appeared on online communities and SNS guiding users to the addresses and access methods for employee-only discount malls of multiple corporations. Employee-only discount malls often require separate access codes, unlike regular official malls, to verify identity. Some posts surpassed 100,000 views, and an SNS account curating discount offerings from multiple corporations also emerged.
At employee-only discount malls, products can be purchased at prices significantly lower than general retail.
Ice cream brand Häagen-Dazs ran an employee discount sale through on the 4th ahead of the Lunar New Year holiday. The employee price for the "set of 5 pints" was 36,900 won, 57% cheaper than the list price (89,500 won).
Character brand Line Friends, oral care brand Crreo, and U.S. home appliance company SharkNinja are also running discounts for employees. Some products were sold at prices more than 30% lower than the lowest market prices.
The industry sees companies expanding employee discount sales to clear inventory ahead of the holiday. Some site notices also stated, "Some inventory items or returned products with no quality issues are included."
◇Employee-only malls in name only emerge… problems also when reselling
The issue is that indiscriminate external sharing of employee-only discount mall addresses and access links could lead to legal disputes. If a company has banned external leaks but they are shared in violation of that rule, it could constitute occupational breach of trust.
Reselling purchased products is also a problem. Because the discounts are steep at employee-only discount malls, the terms and conditions specify "no resale." Reselling in violation of this on secondhand transaction platforms could result in internal discipline as well as civil damages lawsuits. Reselling health supplements, pharmaceuticals, or medical devices could also lead to criminal penalties for violating the Pharmaceutical Affairs Act.
However, some corporations are known to operate employee discount sale sites essentially for marketing and to secure new members. Although the discounts are not large, they tout the "employee mall" label to induce sign-ups or adding a KakaoTalk channel. In form it is an employee-only mall, but in substance it functions as a sales promotion tool.
Attorney Kim Seong-su of Law Office Gwangya said, "For external sharing of an employee-limited discount link to be recognized as an occupational breach of trust, it is not enough to show that the discount link was simply shared," and added, "If the purpose is recognized—for example, the company provides a reasonable level of discount for welfare benefits or sells inventory that is hard to move at list prices to employees to minimize losses—it is difficult to punish."