Hana Tour Begins June Recruitment for 100+ Positions
Modetour Operates Internship Linked to Hiring
Norangpungseon Plans to Resume New Employee Recruitment Within the Year
Major domestic travel agencies, which had downsized due to COVID-19, are expanding their workforce in preparation for the revived demand for overseas travel and the peak tourism season in the second half of the year. They are resuming open recruitment for new employees, selecting up to triple-digit numbers, expanding occasional hiring of experienced professionals, and strengthening the compensation system for existing employees to minimize outflow to other companies.
According to the travel industry on the 25th, Hana Tour plans to start the open recruitment process for new employees around June. The number of hires is expected to be in the hundreds, with the recruitment announcement and selection process beginning at the end of next month. Hana Tour had suspended open recruitment for new employees after COVID-19 but resumed the system last August by selecting 62 people.
A Hana Tour representative explained, "The usual scale of new employee recruitment at the company was in the double digits annually," adding, "Hiring in the hundreds is unusual." This reflects the expectation that work demand in the travel market will surge significantly in the second half of the year. Since the second half of last year, demand for overseas travel has increased, and the third quarter, which includes summer vacation and the Chuseok holiday, is traditionally considered a peak season.
Modetour has added 30 people through a recruitment-linked internship program. They will start working from early next month, undergoing a three-month performance evaluation. A Modetour representative said, "In areas with a shortage of personnel such as accounting, IT, and counseling, recruitment of experienced professionals has been ongoing since the second half of last year through occasional hiring," adding, "We plan to recruit additional participants for the recruitment-linked internship program in the second half of this year."
Norangpungseon also plans to resume open recruitment for new employees in the second half of this year. The specific scale of recruitment is under review. A Norangpungseon representative said, "After COVID-19, the number of employees significantly decreased but was reinforced through reinstatements and hiring of experienced professionals," adding, "We will determine the scale of recruitment according to market conditions."
In addition, Interpark is conducting recruitment focusing on key positions including research and development (R&D), and Kyowon Tour is recruiting new and experienced employees across 16 departments. Document submissions are open until the 3rd of next month. A Kyowon Tour representative explained, "Due to the rapid growth of 'Travel Easy,' launched last year, we are conducting open recruitment for both new and experienced employees."
Earlier, major travel agencies saw their number of employees drop to less than half due to the direct impact of COVID-19. Hana Tour’s workforce, which reached 2,500 in 2019, fell to around 1,200 by the end of last year, and Modetour’s staff, which was over 1,100, decreased to about 600. During the same period, Norangpungseon’s employees dropped from 553 to 298 but have recently increased by about 100.
As much as hiring new personnel, travel agencies are focusing on retaining existing employees. The service industry is sensitive to external variables, and poor performance for a while led to unfavorable treatment. Therefore, they are also putting effort into motivation by providing performance bonuses linked to improved results or offering stock options.
At last month’s shareholders’ meeting, Norangpungseon approved a proposal to grant stock options totaling 858,250 shares to 333 executives and employees. The exercise price is 8,920 KRW. Modetour introduced a special performance bonus system this year, planning to pay 33% of the annual operating profit target to employees if achieved. Hana Tour established a special compensation system in March last year, allowing employees to receive performance bonuses linked to stock prices up to 30 million KRW by March 2024.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
