Woori Bank Also Faces Early Retirement... Major Banks Begin Large-Scale Year-End Layoffs Cold Wave

Applications open from the 16th... 36 months of salary paid and support for tuition fees, etc.

[Asia Economy Reporter Kim Hyo-jin] Woori Bank is implementing year-end voluntary retirement for employees aged 54 and older.

According to the banking sector on the 16th, Woori Bank's labor and management agreed on this year's voluntary retirement plan and will start accepting applications as early as today. The target is those aged 54 (born in 1966) and above. A lump sum payment of 36 months' salary will be provided, along with support for tuition fees, travel vouchers, and reemployment assistance funds.

Last year, tuition fees were paid up to 28 million KRW per child for up to two children, travel vouchers worth 3 million KRW, and reemployment support funds of 33 million KRW.

It is known that labor and management agreed to keep these amounts at similar levels this year. Woori Bank will also accept voluntary retirement applications from those aged 55 (born in 1965) who have entered the wage peak system, with a condition of paying 24 months' salary.

NH Nonghyup Bank accepted voluntary retirement applications from the 26th to the 30th of last month. The number of applicants surged to 503, an increase of 147 from last year's 356 applicants.

Nonghyup Bank decided to pay employees aged 56 a voluntary retirement allowance equivalent to 28 months of their average monthly wage at the time of retirement. For general employees born in 1965 and 1966, voluntary retirement will be compensated with 35 months and 37 months of average monthly wages, respectively. Employees born from 1967 to 1970 and those born from 1971 to 1980 will receive retirement pay equivalent to 39 months and 20 months of average monthly wages, respectively.

Employees aged 56 will also receive a job transition support fund of 40 million KRW and agricultural product vouchers worth 10 million KRW. Employees aged 48 to 55 will be given agricultural product vouchers worth 10 million KRW.

SC First Bank also accepted special retirement applications until the 2nd. The special retirement applicants are employees aged 55 or older (born before 1965) with more than 10 years of service at all ranks below executive director. Special retirement employees will receive up to 38 months' salary, up to 20 million KRW for children's tuition fees, and 20 million KRW for startup support funds. It is reported that many employees applied for special retirement at First Bank as well.

Other major banks are also preparing for voluntary retirement. This is interpreted as a result of the increased need for restructuring due to the impact of the novel coronavirus disease (COVID-19) and digital innovation.

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