Korea Technology Group, All Subsidiary Executives Voluntarily Return 20% of Salaries

Over 100 Executives from Hankook Tire and Affiliates to Return 20% of Salaries Until Business Normalization

Korea Technology Group CI (Photo by Korea Technology Group)

[Asia Economy Reporter Kim Ji-hee] Executives from all affiliates of Hankook Technology Group have voluntarily decided to return 20% of their salaries to respond to the management crisis caused by the novel coronavirus infection (COVID-19).

Hankook Technology Group announced on the 8th that about 100 executives from its affiliates, including Hankook Tire & Technology, will voluntarily return 20% of their salaries from this month until the management situation normalizes. This is part of self-help measures to overcome the worsening management situation caused by the prolonged global automotive industry recession combined with production stoppages and sluggish sales due to COVID-19.

Hankook Tire & Technology recorded sales of 1.4357 trillion won in the first quarter, down 12.6% compared to the same period last year. Operating profit during this period was 105.8 billion won, a decrease of 24.7% from the previous year.

Since the early outbreak of COVID-19, Hankook Technology Group has been implementing company-wide cost reduction efforts. The company plans to overcome the crisis through an emergency management system and enhance corporate value by innovating fundamental competitiveness. Earlier in March, through a shareholder letter, the company announced various measures to strengthen future competitiveness, including securing investment funds and strengthening financial soundness by optimizing assets through the sale of domestic idle sites such as the Hankook Tire Busan Yeongdo logistics center site.

This content was produced with the assistance of AI translation services.