Three-Quarters of Koreans Say Samsung, SK hynix Bonuses Excessive

3 in 4 Say Bonuses Are "Excessive" Only Those in Their 20s See Levels as "Appropriate" Market-Friendly Policy Direction Preferred

Finance|
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By Kang Ji-won
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A banner denouncing the Samsung Electronics labor union, installed by the Samsung Electronics Shareholder Action Committee, hangs near Itaewon-ro in Yongsan-gu, Seoul, on the 6th. News1 - Seoul Economic Daily Finance News from South Korea
A banner denouncing the Samsung Electronics labor union, installed by the Samsung Electronics Shareholder Action Committee, hangs near Itaewon-ro in Yongsan-gu, Seoul, on the 6th. News1

Three out of four Koreans view the hundreds of millions of won in performance bonuses paid by Samsung Electronics (005930.KS) and SK hynix (000660.KS) as excessive, a survey showed. However, the mainstream response was a cautious stance calling for "social discussion" rather than outright criticism.

Older Respondents More Likely to Say "Too High"… Clear Generational Gap

According to the "Samsung Electronics and SK hynix Performance Bonus Perception Survey" released Friday by Elimnet Now&Survey, 47.3 percent of respondents answered "very high" and 27.4 percent "somewhat high" when asked whether the bonus levels at Samsung Electronics and SK hynix were appropriate. In total, 74.7 percent viewed current bonus levels as excessive.

Those who answered "appropriate" accounted for 17.8 percent, while only 1.8 percent said the bonuses were "low."

A clear generational divide emerged. The share of respondents who answered "high" climbed steeply with age: 56.9 percent among those in their 20s, 71.3 percent in their 30s, 70.6 percent in their 40s, 82.7 percent in their 50s, and 84.8 percent among those 60 and older. In contrast, 31.4 percent of respondents in their 20s said the bonuses were "appropriate," the highest share across all age groups.

A gender gap was also confirmed. Among male respondents, 53.9 percent chose "very high," compared with 38.2 percent of women — a 15.7 percentage point difference.

Meanwhile, variation across income brackets was not significant. Analysts note that critical sentiment toward performance bonuses is more closely tied to generational factors than to income levels.

"Discussion Is Needed, but Leave the Conclusion Open"… Views Split by Occupation

When asked about overall perceptions of large performance bonuses, 50.2 percent said "social discussion is needed," the most common response, followed by "fair compensation" (26.0 percent) and "an internal corporate matter" (19.8 percent).

Views also diverged by occupation. Employees at large corporations (34.2 percent) and students (40.0 percent) were more likely than average (26.0 percent) to view the bonuses as "fair compensation," while workers at mid-sized companies (58.0 percent), self-employed individuals (56.6 percent), and employees at small and medium-sized enterprises (52.9 percent) more often said social discussion was needed.

On the outlook for future bonus levels, 81.1 percent expected current levels or higher to be maintained for the time being, combining those who said bonuses would "expand" (43.3 percent) and those who said they would "remain at current levels" (37.9 percent). As for government policy direction, 63.3 percent supported market-friendly approaches, including "corporate autonomy" (33.4 percent) and "inducing voluntary returns through tax incentives" (29.9 percent).

Elimnet Now&Survey said, "While three out of four respondents assess bonus levels as 'high,' only a minority flatly condemn them as 'unjust.'" The firm added, "About half are in a state of cautious 'critical consensus' — saying discussion is needed but the conclusion should remain open."

The survey was conducted on 1,310 adult men and women nationwide from Oct. 30 to Nov. 6, with a margin of error of ±2.71 percentage points at a 95 percent confidence level.

Original reporting by Kang Ji-won for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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