[These Days Newcomers] ⑤ "Newcomer-Friendly Kakao More Popular Than Samsung"... Workplaces Must Change to Attract Talent

Responding to "These Days, Newcomers"... Companies Taking Initiative to Change Themselves

Shedding Old Habits and Spreading a Horizontal Culture
Fair Opportunities and Work-Life Balance as Basics
Lotte Breaking Seniority Culture and Exclusivism
Hyundai Motor Establishing Town Hall Meetings and Casual Dress Code

Newcomers Choose Companies Based on "Growth"
Samsung Electronics Operating In-House Venture C-Lab
Venture Companies Sending Recruitment Emails to Job Seekers
Mentoring to Listen to Concerns and Support Development

[Asia Economy Reporters Yuri Kim and Bokyung Kim] # "In a university student employment preference survey, Samsung Electronics is being outpaced by IT companies such as Naver, Kakao, and Coupang." "We will share the company's concerns and future preparations." These remarks came during a communication meeting (Talk Together) held on the 31st of last month between Samsung Electronics' executive team and employees. Unreserved discussions poured out in front of the Samsung Electronics set division executives, including CFO Yoonho Choi, Presidents Jonghee Han, Taemoon Noh, Jaeseung Lee, Kyunghoon Jeon, and Vice President Yongkwan Kim. This was a session where management rolled up their sleeves and engaged in dialogue directly, responding to rising criticism from the 'these days, new hires' about salaries, bonuses, and organizational culture.

Companies are gradually adapting to the tide of change. Voices from the new hires advocating for 'fair opportunities' and 'work-life balance (WLB)' have been supported by senior employees, spreading a horizontal culture and prompting the creation of an autonomous internal atmosphere through frank criticism of outdated practices. Especially with the expansion of ESG (Environmental, Social, and Governance) management, 'change from below' has become a key topic across industries.

◆The Unchangeable Value: 'Fairness'

The traditional corporate culture based on open recruitment and seniority is disappearing. Lotte Group, which recently introduced continuous recruitment, stated, "By abolishing seniority, we aim to break down the remaining seniority culture and inbreeding within the organization and foster a more horizontal and flexible organizational culture." Lotte operates a 'Junior Board' consisting mainly of employees in their 20s and 30s at the assistant manager level, selecting about five members from each of its 40 subsidiaries. It was created to convey honest voices from the field up to the CEO.

SK Innovation undertook a comprehensive HR system overhaul focused on 'growth' led by its members in December last year. They publicly recruited clans (groups voluntarily formed by people who enjoy the same online game) to improve the system. Through this, telecommuting was regularized as a work style, and the mobile-based work management system 'Oworks' was introduced. The newly established 'Ojobs' allows employees to freely apply when organizations with mobility needs post openings.

◆Work-Life Balance as a Basic

Hyundai Motor Company established a dedicated team in 2018 to improve rigid organizational culture, working methods, and work environment. After three years, initiatives such as 'Town Hall Meetings' that created base offices, 'casual dress code,' and 'extended lunch hours' have been established. Samsung Electronics also implemented a 'flexible working system' in the same year, expanding the weekly 'flexible commuting system' for developers and office workers to a monthly 'selective working hours system' and introducing a 'discretionary working system' that grants employees discretion over their work. The manufacturing division introduced a three-month 'flexible working hours system' to prepare for peak air conditioner seasons.

Shinsegae Group introduced a '35-hour workweek system' in the same year. Employees start work at 9 a.m. and leave at 5 p.m., working seven hours a day. Internally, the system has been positively evaluated for increasing work efficiency and enhancing work-life balance. A Shinsegae representative said, "Although working hours have decreased, productivity has actually increased," adding, "Focusing on completing tasks and leaving on time without worrying about others is beneficial for both the company and employees."

'Vacation without pressure' is also a hot topic among the 'these days, new hires.' CJ CheilJedang introduced Golden Bridge and Golden Week, where all employees are initially marked as taking annual leave during bridge holidays, and only those who want to work apply to come in. The same policy applies for a week from the Christmas holidays in December through the January holidays.

◆New Hires Assessing Whether the Company Nurtures Talent

One of the criteria for company selection among new hires these days is whether the company can foster their growth. Samsung Electronics and LG Electronics responded with their in-house venture programs. Samsung Electronics has produced 52 independent startups through its in-house venture program 'C-Lab.' A total of 182 employees have left the company to start their own startups. These startups have attracted 75 billion KRW in investment and employed 416 people. Employees can work like a startup in an independent workspace for one year away from their regular duties and can rejoin the company within five years after spin-off if they wish. LG Electronics also introduced the in-house venture program 'LEG Adventure' at the end of last year and spun off an in-house venture that built a non-face-to-face fashion platform.

Shinsegae Group's SSG.com holds monthly 'Master Classes' seminars, inviting famous domestic and international IT industry figures to share success experiences and business insights, receiving great responses from the MZ generation who value self-development.

◆Companies Engaging in One-on-One Mentoring

Startups have adopted 'these days, new hire-friendly' corporate cultures faster than large corporations. Woowa Brothers, which operates Baedal Minjok, is a prime example. Their code of conduct titled '11 Ways to Work Better in Songpa-gu' reveals a horizontal organizational culture free from authoritarianism. The code includes principles such as 'Execution is vertical, culture is horizontal,' 'No joking about pressuring others during vacation or leaving work,' and 'Responsibility lies with the decision-maker, not the executor.' Meetings are held with everyone on equal footing, and a weekly 'Elegant Chat Time' allows free communication between management and employees.

Venture companies have also lowered their stance to recruit excellent developers. Since it has become difficult to hire top talent through job postings alone, executives actively promote their companies via YouTube and send direct recruitment proposals via email to job seekers. While meeting desired salary levels is important, they are also innovating in company vision, corporate culture, and welfare systems. HR systems are evolving to match the tendencies of new hires who want both 'compensation' and 'growth.'

A CEO of a platform company, Mr. A, said, "New hires these days evaluate how much they can grow in the company and whether they can continuously develop their skills," adding, "We listen to employees' concerns and support their development through monthly one-on-one mentoring." CEO B of an AI technology company stated, "To create an autonomous culture where employees make their own decisions and act, we transparently disclose detailed management activities and data," and added, "We abolished rank and seniority systems and designed a personalized HR system for talent development."

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