South Korea’s biggest companies Samsung Electronics and LG Electronics have decided to lower the pay raise for employees this year, according to industry sources Friday.
Samsung’s management and representatives of the employees have agreed on a 2.5 percent increase in base salary. However, depending on personal performance evaluation, the rate will vary.
Samsung granted a pay raise of 3.5 percent in 2018 and 2019.
The lower increase this year reflects growing uncertainties in the global business environment amid the novel coronavirus spread, a company official said.
LG Electronics’ management and trade union have pounded out an agreement on a 3.8 percent increase.
Last year, the pay raise was 4.3 percent.
By Song Su-hyun (firstname.lastname@example.org)