Toss Introduces New HR System... 3-Month Review Process and Strike System Abolished

[Asia Economy Reporter Kiho Sung] Toss is boldly introducing new policies in the HR sector, including attendance and performance evaluations.

According to Toss on the 19th, the new HR system, which will be implemented starting November, can be summarized into two main points: ‘work-life balance and enhanced compensation’ and ‘abolition of short-term evaluations.’ The year-end vacation system called ‘Gyeoulbanghak’ (Winter Break) will also be regularized. ‘Gyeoulbanghak’ is a policy that grants the entire company about 10 days off around Christmas. Except for some essential personnel such as customer service centers, all team members are expected to take leave. Additionally, the internal messenger will enter a rest mode after work hours, where mutual responses are not required.

Along with the introduction of a flexible working hours system, the principle of allowing employees autonomy over attendance matters such as vacation use, remote work, and commuting hours without separate approval remains unchanged. This is based on the judgment that mutual trust has been established through a culture focused on high performance and immersion.

The current comprehensive wage system will be converted to a non-comprehensive wage system early next year. Under the new wage system, working hours exceeding the legal standard of 40 hours per week will be compensated with additional allowances separate from the annual salary, resulting in a significant salary increase not only for new hires but also for existing employees. However, total working hours cannot exceed 52 hours per week.

The evaluation system will also undergo major changes. The ‘3-month review process’ and ‘strike’ system, which have been operated as alternatives to traditional performance evaluations since Toss’s early days, will be abolished. These systems were designed to improve the performance levels of new hires through active peer feedback and to prevent moral hazard among employees. Toss has decided to abolish these systems, judging that providing sufficient psychological stability to both applicants and current employees is more effective for the team’s long-term success. Instead, Toss plans to manage organizational talent density and capabilities through enhanced recruitment procedures and the promotion of a culture of free peer feedback.

Park Tony, leader of the People & Culture team, explained, “Although HR policies will continue to evolve as the workforce grows and diversifies, the core principles of autonomy and responsibility based on trust and a culture oriented toward high performance will remain unchanged.”