Lotte Tightens Internal Strengthening with Voluntary Retirement at Mart and Unpaid Leave at Department Store

Voluntary Retirement for Lotte Mart and Lotte Super Employees with Over 8 Years of Service
Aiming to Establish a Virtuous HR Cycle
Unpaid Refresh Leave Program for Lotte Department Store Employees with Over 5 Years of Service

Lotte is pursuing organizational renewal and internal strengthening in its core retail business by implementing voluntary retirement and unpaid leave programs.

Lotte World Tower. Provided by Lotte

According to the retail industry on the 30th, Lotte Mart and Lotte Super announced plans to implement voluntary retirement via the company intranet the previous afternoon. Eligible applicants are employees who have served at the same position for at least eight years and are aged 48 or older. Voluntary retirees will be provided with severance pay of up to 36 months of base salary, depending on their years of service, position, and rank.

Additionally, reemployment support funds and job placement services will be provided to those who wish to utilize them. For employees with children currently enrolled in university, the company will provide up to 10 million won per child in tuition support, for up to three children.

This is the first time in about three years since 2023 that Lotte Mart and Lotte Super have implemented a voluntary retirement program. The company explained that the decision is aimed at responding flexibly to the rapidly changing retail environment. Using this voluntary retirement as an opportunity, Lotte plans to establish a virtuous cycle in human resources by hiring more than 100 new and experienced employees this year.

On the 28th, Lotte Department Store announced internally that it would accept applications for "refresh leave" from all employees with five or more years of service. Employees can choose between one, three, or six months of unpaid leave. Since last year, Lotte Department Store has offered this program twice a year to applicants. From the company's perspective, the program can both enhance employee welfare and generate cost savings, such as reduced labor expenses during the leave period.

However, Lotte Department Store clarified, "Because the store's recent performance and market conditions are not bad, this is not for organizational restructuring or cost-cutting purposes," adding, "This is a welfare program designed for employees who wish to recharge or pursue further education."

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