Hyundai Motor Group chairman Chung Mong-koo topped in the nation’s 2014 executive pay ranking with a salary of 21.6 billion won ($20 million), according to a financial regulatory filing released on Tuesday.

Chung received payment from the group’s four affiliates ― Hyundai Motor, Hyundai Steel, Hyundai Mobis and Hyundai Engineering & Construction ― where he served as a registered director in fiscal 2014. 

Shin Jong-kyun, CEO of Samsung Electronics’ IT and mobile communications division, was ranked first among CEOs with 14.57 billion won ($13.1 million), more than a double his 2013 paycheck of 6.23 billion won.

It is the second time that the paychecks of directors of major firms have been disclosed. Under the new regulation, listed firms are required to disclose the salary of their registered directors when they receive more than 500 million won ($469,500).

Shin had been widely expected to surpass Chung until the third quarter of last year. However, Chung grabbed the first slot as a retirement payment of about 9.5 billion won was doled out to him by Hyundai Steel in the last quarter. 

 

“We can say Shin is the real hero in the 2014 paycheck ranking,’’ said an official from CEO Score, a local corporate information provider.

Shin’s thicker paycheck last year results from a surge in his performance bonus linked to Samsung’s strong mobile business in 2013.

Pay of Samsung executives heavily depends on performance bonus rather than basic income and incentives. Shin’s performance bonus took about 60 percent of the total compensation package last year, reaching up to 9.11 billion won.

“Many of the chaebol owner family members were excluded from the 2014 executive pay ranking as they voluntarily left their registered director position last year,” said Kang Jung-min, an analyst of Economic Reform Research Institute.

Against this backdrop, the salaries of Samsung Electronics vice chairman Lee Jay-yong, SK chairman Chey Tae-won and other chaebol owners or heirs were not disclosed. 

By Seo Jee-yeon
(jyseo@heraldcorp.com)