According to the report, Samsung Electronics has exempted employees currently undergoing overseas training from bonus eligibility. This stance is reportedly seeing a number of employees terminating their training to return to their roles. Samsung runs a highly sought-after training program that provides employees around their 7th year at the company with financial and operational support to pursue postgraduate degrees at prestigious institutions both in and outside Korea. For example, in addition to their annual salaries, the company provides employees pursuing an MBA in the US with 500 million Korean won (~$333,000) in tuition and living expenses over two years. The support varies across institutions and countries.
The program is typically highly competitive, with only 1 in 70 applicants succeeding. Now, following projections that the electronics giant could distribute an average of 600 million (~$400,000)won in bonuses to employees in the semiconductor division, interest in the training programs has dropped. Reports suggest that even those currently undergoing training are considering halting midway to be eligible for performance bonuses, as these are likely to outweigh the financial benefits of the training program.
Every SK hynix employee could receive $477,000 bonuses this year, almost $900,000 next year
Samsung chip workers reject $340,000 one-time bonus, demand annual payouts like SK hynix's $900,000
More than 30,000 Samsung union members take to the streets to demand higher cut of AI profits, an average of $400,000 per worker
According to the Chosun report, sources from Samsung Electronics stated, “There have been inquiries to the HR team about whether trainees can withdraw mid-program and if they must repay previously received company support.” indicating that despite potential repayment obligations, some employees are willing to return regardless.
These reports are coming even as Samsung Electronics employees are planning industrial action to compel the company to extend continuous performance bonuses to employees outside the semiconductor division. The company says only employees in the semiconductor division will receive ongoing bonuses, while others in other divisions will receive a one-time payment. The strike is scheduled for the 21st of May.
At Samsung’s competitor, SK Hynix, similar reports of employees abandoning training in favor of bonuses are emerging. Despite the fact that SK Hynix takes a softer stance by offering partial bonuses to training beneficiaries, anonymous posts on its internal board reportedly include comments like, “If next year’s bonus reaches 700 million Korean won (~$466,000), not abandoning the training might make me a sudden pauper overnight” and “Seeing the projected bonuses for next and the following year, I want to cut off the hand that applied for the training.”
These comments follow projections of even bigger bonuses in the coming years, as SK Hynix paid out 140 million Korean won (~$93,000) in performance bonuses early this year, which, unlike at Samsung, was distributed across the entire company. Analysts predict a dip in the popularity of overseas training programs at Samsung Electronics and SK Hynix over the next few years, as the appeal of performance bonuses grows. SK hynix bonuses are tipped to hit $477,000 this year and as much as $900,000 next year .
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- https://www.tomshardware.com/tech-industry/big-tech/samsung-and-sk-hynix-employees-are-reportedly-abandoning-overseas-training-programs-to-nab-up-to-usd400-000-performance-bonuses-online-dating-grades-rise-as-female-members-seeking-out-sk-hynix-employees#main
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