CJ ENM Entertainment Division Expands Overseas... Bold Personnel Reshuffle Focused on 'Performance'

Reforming the HR System... Introducing Stock Compensation Plan
Kang Ho-sung, CEO of CJ ENM, "Transforming into a Global Content and OTT Market Leader through Top Talent"

[Asia Economy Reporter Cha Min-young] CJ ENM's Entertainment Division is completely abolishing the seniority-based rank system and introducing an in-house stock compensation program to attract talent.

On the 13th, CJ ENM announced that it will implement a new personnel system reform based on the principles of "diverse opportunities, fair competition, exceptional rewards, and growth."

The complete abolition of the seniority-based rank system is the most radical change. Although the form of address remains the same as "nim," ranks are entirely eliminated from the internal personnel system, so individuals will be distinguished only by their roles and duties, such as "Strategic Planning Park OO-nim" or "Entertainment Production PD Kim OO-nim." With the disappearance of tenure and seniority concepts, anyone can grow into a star creator or management leader (executive) within 10 years.

The scope of work will expand beyond the existing standardized team units to collaborative project-based work. Regardless of rank or age, anyone can propose a project, and the most suitable person will become the project leader, forming a team and leading the project. Programs to revitalize in-house ventures and Company-In-Company (CIC) will be regularized, and the base office system, which allows employees to freely choose their work location, will be expanded.

Measures to strengthen both monetary and non-monetary compensation following the abolition of ranks have also been prepared. First, in the spirit of growing together with the company, a "stock compensation program (RSU - Restricted Stock Units)" will be introduced for all employees. Additional stock rewards will be possible for high performers and key contributors. To prevent compensation from being overly performance-centered, the long-term service award system will shorten the award cycles to 3, 5, 7, and 10 years and increase the amounts.

Kang Ho-sung, CEO of CJ ENM, said, "A major transformation in the way we work is required to become a company that can lead the global content and OTT market through the best talent," adding, "We will transform into a company where the best talents want to work."

This personnel system reform direction is based on the core values that will drive ENM's growth: empathy, originality, and a sense of mission. CJ Chairman Lee Jae-hyun emphasized the importance of securing top talent in the group's mid-term vision announcement. He stated, "We will create a workplace where passionate people can receive unprecedented exceptional rewards through diverse opportunities and fair competition and grow together, which has not been seen in other companies."

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