Seobu Power Returns Executive Bonuses... Fourth Case Following KEPCO, Nambu, and Dongseo Power

West Power Headquarters Building Exterior View

[Asia Economy Sejong=Reporter Dongwoo Lee] Korea Western Power announced on the 22nd that it will participate in the voluntary return of performance bonuses following the results of the 2021 public institution management evaluation.

The targets include President Park Hyung-deok and executives at grade 1 or higher.

President Park stated, "To overcome the management crisis, we will promote emergency management based on high-intensity self-help efforts that the public can sympathize with, and as part of this, the management and key grade 1 employees will return their performance bonuses."

He added, "We will concentrate the company's full capabilities on rigorous management efficiency to improve financial deterioration and secure public trust."

Western Power plans to reduce costs by a record 230.8 billion KRW through power plant maintenance efficiency and cut about 200 billion KRW in business investment costs considering policy directions and urgency. Additionally, it will conduct an organizational diagnosis reflecting business changes to streamline similar and overlapping functions, and proceed with organizational redesign and personnel reallocation.

The Public Institution Operation Committee previously recommended on the 20th that institutions with deteriorating financial conditions requiring high-intensity self-help efforts voluntarily return performance bonuses of the institution head, auditor, and standing directors.

KEPCO and public power subsidiaries are among the targets.

So far, KEPCO, Korea Southern Power, and Korea East-West Power have expressed their intention to return performance bonuses. Korea Midland Power and Korea Hydro & Nuclear Power are also reportedly reviewing the return of performance bonuses.