LG Electronics to Award Record-Breaking Bonuses Up to 710%

OLED TV Trend Led by TV Division with 710% Growth
Whirlpool Surpassed by Home Appliances, 400~660% + 5 Million KRW Incentive

[Image source=Yonhap News]

[Asia Economy Reporter Lee Hyeyoung] LG Electronics will pay a record-high performance bonus of up to 710% this year.

According to industry sources on the 11th, LG Electronics finalized the scale of the performance bonus on the same day and held briefings by business divisions to inform employees. The performance bonuses are scheduled to be paid in mid-month.

The HE Business Division, responsible for the TV business, will receive performance bonuses ranging from 450% to 710% of the base salary by business unit, including TV and Audio-Video (AV).

The TV Business Unit, which contributed to the popularization of OLED (Organic Light Emitting Diode) TVs, will receive the highest level of performance bonus at 710%.

The H&A (Home Appliance & Air Solution) Business Division will receive performance bonuses ranging from 400% to 660% by business unit. In addition, to commemorate achieving the number one global sales position in the home appliance sector, an additional "H&A Global No.1 Incentive" of 5 million KRW will be paid.

The BS Business Division, responsible for B2B business, will receive 150% to 400%, and the VS (Vehicle Component Solutions) Business Division will receive 150% performance bonuses. Last year, some units of the BS Business Division and the VS Business Division only received encouragement bonuses of 1 to 3 million KRW, but this year, with the application of the new performance bonus standards, they will receive a certain level of performance bonuses.

LG Electronics revised its previous performance bonus standards, which were focused on each business division, in September last year. The new performance bonus system fundamentally applies the achievement rates of the company's overall sales and operating profit targets to all organizations and determines the payment rate by reflecting the achievement rates of sales and operating profit targets of each business division.

LG Electronics recorded consolidated sales of 74.7216 trillion KRW and operating profit of 3.8638 trillion KRW last year. Sales increased by 28.7% compared to the previous year, while operating profit decreased by 1.1%.

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