NC Recommends Voluntary Resignation to Non-Development and Support Department Employees

NCSoft is reported to have notified non-development and support teams of recommended layoffs.

According to industry sources on the 23rd, NCSoft recently informed employees in the non-development and support divisions who received the lowest internal evaluation ratings that they are subject to recommended resignation. Employees selected for workforce reduction are expected to begin the retirement process as early as the beginning of next month. The company is said to have offered these individuals an additional 3 to 6 months' salary on top of their severance pay.

The industry estimates that about 5% of the total workforce has been selected for recommended resignation. Considering that NCSoft has around 5,000 employees, the number of affected individuals is expected to reach approximately 250.

Industry analysts suggest that NCSoft has initiated restructuring to overcome performance and financial challenges. Following a weak performance last year, the first quarter of this year is also expected to show poor results. Securities firms forecast first-quarter sales of 415.2 billion KRW and operating profit of about 14.2 billion KRW, representing decreases of 1.87% and 59.77%, respectively, compared to the same period last year.

NCSoft co-CEO Park Byung-moo has also emphasized management efficiency. At a media briefing last month, he stated, "Efficiency focused solely on numbers eliminates a company's competitiveness and foundation," adding, "All departments will strengthen management efficiency that complements each other to enhance core competitiveness."

An NCSoft representative said, "We are reviewing various measures for organizational improvement," and added, "There are no confirmed details regarding personnel matters."