Employment Status of National Pension Subscribers in Top 500 Companies
Samsung Electronics, the Only Public Recruitment in 5 Major Groups, Records Net Employment of 6,768
LG Innotek, SK Hynix, LG Energy Solution, and LG Display Also Rank High
[Asia Economy Reporter Moon Chaeseok] Samsung, LG, and SK significantly increased net employment last year despite the recession. They risked everything to secure top talent even during the semiconductor downturn. Net employment is the number of people who gained jobs minus those who lost jobs.
On the 8th, the Corporate Data Research Institute CEO Score announced that among the top 500 companies last year, 460 companies had a net employment increase of 22,334 people. This represents a 1.5% increase compared to the National Pension subscribers (1,535,158 people) as of the end of December 2021.
The IT, electrical, and electronics sector had the highest net employment number. It accounted for 16,819 people, or 75.3% of the total. Construction and building materials (3,312 people), food and beverage (2,798 people), transportation (2,168 people), automobile and parts (1,906 people), shipbuilding, machinery, and equipment (1,537 people), petrochemicals (1,203 people), and pharmaceuticals (1,131 people) followed.
On the 6th of last month, employees moving inside Samsung Electronics Seocho Building in Seocho-gu, Seoul. Photo by Jinhyung Kang aymsdream@
Samsung Electronics ranked first with 6,768 people, accounting for more than 30% of the total net employment. Samsung Electronics is the only company among the top five domestic groups to maintain a new employee recruitment system. It had a net employment increase of 2,863 people in September and October last year alone.
LG Innotek was second with 2,716 people. It posted its highest performance for four consecutive years. In July last year, it signed an investment agreement with Gumi City, Gyeongsangbuk-do, to produce camera modules, which is expected to create about 1,000 jobs annually in the future. Net employment also increased at IT companies such as SK Hynix (1,797 people), LG Energy Solution (1,443 people), and LG Display (1,340 people).
Other companies that increased net employment include SCK Company (formerly Starbucks Coffee Korea, 1,934 people), CJ Olive Young (1,193 people), and Korean Air (1,186 people).
Net employment based on National Pension subscribers of the top 500 companies in 2022. [Data=CEO Score]
Net employment decreased in the distribution, banking, telecommunications, and insurance sectors. The distribution sector decreased by 5,377 people. Banking (-2,614 people), telecommunications (-1,003 people), insurance (-866 people), trading companies (-285 people), daily necessities (-274 people), and securities (-30 people) sectors also performed poorly.
The distribution sector underwent restructuring such as workforce reductions due to profitability deterioration caused by the COVID-19 aftermath. The banking and insurance sectors saw a decrease in employment due to branch network reductions and voluntary retirements amid the transition to digital finance.
Coupang had the largest decrease with 4,903 people. Emart (-1,174 people) and Lotte Shopping (-1,029 people) also reduced their workforce by more than 1,000 due to restructuring. Korea Citibank (-1,048 people) did not hire due to a contraction in retail finance.
Companies experiencing labor shortages such as Samsung Heavy Industries (-488 people), Daewoo Shipbuilding & Marine Engineering (-148 people), and Hyundai Heavy Industries (-102 people) also saw a decrease in net employment. Among the three major telecommunications companies, only KT (-1,250 people) experienced a net employment decrease.
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