Lotte Cultureworks Implements Voluntary Retirement Amid Movie Theater Industry Slump

83 Billion Won Operating Loss in Q1-Q3
Program Targets Employees with Over 10 Years of Service

Lotte Cultureworks has initiated a voluntary retirement program as the downturn in the movie theater industry continues. According to industry sources on November 28, the company announced internally that it would accept applications for voluntary retirement until December 4.

Lotte Cultureworks, which operates Lotte Cinema, Lotte Entertainment, and Charlotte Theater, recorded an operating loss of 8.3 billion won in the first to third quarters. This was due to the stagnation in the movie theater industry.

Although the movie theater industry appeared to be recovering after COVID-19, its slump has recently deepened. According to the Korean Film Council, the number of moviegoers from January to October this year was 85.03 million, a decrease of 17.5% (18.1 million) compared to the same period last year. Box office revenue for the same period was 834.4 billion won, down 16.9% (169.5 billion won) from the previous year.

The voluntary retirement program is open to all employees with at least 10 years of service, regardless of position. Those who opt for voluntary retirement will receive a severance package calculated by multiplying their monthly base salary by their years of service, up to a maximum of 15 months.

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