LG Electronics Raises Wages by 4%... Introduces 'Post-Retirement Reemployment System' for the First Time

LG Electronics has finalized this year's average wage increase rate at 4% and will introduce a 'post-retirement reemployment system'.

On April 1, LG Electronics announced through an internal notice that it had reached an agreement with the labor union on wage and collective bargaining, including wage and welfare improvements. The company also stated that it would implement a post-retirement reemployment system to rehire employees after retirement.

Yonhap News

LG Electronics and the union agreed to rehire employees with expertise and advanced skills for up to one year after retirement, taking into account the employee’s wishes and health status. This system will apply to both office and production staff starting next year.

The average wage increase rate at LG Electronics for this year has been set at 4%. For office staff, the wage increase will be calculated by adding the short-term performance-based increase (0–8%), determined by last year’s performance evaluation, and the long-term performance-based increase, which reflects performance evaluations from the past four years.

In addition, welfare improvements have been introduced, including the extension of infertility leave from the previous three months to a maximum of six months, and changing fetal examination leave from a half day to a full day.

Since 2022, LG Electronics has adopted a wage increase system that comprehensively considers both short-term and long-term performance, in line with its principle of performance-based compensation.

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