Kim Ki-hong, Chairman of JB Financial Group, Earns Higher Salary Than Chairmen of the Four Major Landlords

2.38 Billion Won
Top of the Four Major Holding Companies: Hana Financial Chairman Ham Youngjoo Earns Over 2 Billion Won
BNK Financial Chairman Bin Daein: 930 Million Won
DGB Financial Chairman Hwang Byungwoo, Including iM Bank CEO Salary:
580 Million Won
JB Tops Average Employee Compensation Among Regional Holding Companies

Last year, the chairmen of regional financial holding companies (BNK, DGB, JB) who recorded record-high performances received tens of billions of won in annual salaries. Kim Ki-hong, chairman of JB Financial Group, received more compensation than the chairmen of the four major financial holding companies (KB, Shinhan, Hana, Woori). Among regional financial holding companies, JB Financial had the highest average employee compensation, with an average of 170 million won.

According to the "2024 Annual Report on Governance and Compensation System" disclosed by regional financial holding companies on the 10th, Kim Ki-hong, chairman of JB Financial Group, received 2.38 billion won in compensation last year. Of this, 1.73 billion won was performance-based compensation, and the total compensation was 650 million won. This represents about a 15% increase compared to 2023; while the total compensation remained the same, the performance-based compensation increased significantly. Specifically, Kim, who received 1.28 billion won in performance-based compensation and 650 million won in total compensation the previous year, totaling 1.93 billion won, received an annual salary exceeding 2 billion won for the first time this year.

Chairman Kim's annual salary is higher than those of the four major financial holding company chairmen. Ham Young-joo, chairman of Hana Financial Group, is estimated to have received more than 2 billion won last year. Yang Jong-hee, chairman of KB Financial Group, received 1.85 billion won in compensation, and Jin Ok-dong, chairman of Shinhan Financial Group, received 1.5 billion won. In the case of Lim Jong-ryong, chairman of Woori Financial Group, even assuming that Woori Financial Group's registered executives, including outside directors, received 1.66 billion won, Chairman Kim Ki-hong still received a higher annual salary.

Bin Dae-in, chairman of BNK Financial Group, received 930 million won last year. Chairman Bin received a total compensation of 730 million won and performance-based compensation of 200 million won. Hwang Byung-woo, chairman of DGB Financial Group, received a total compensation of 460 million won and performance-based compensation of 120 million won last year, totaling 580 million won. Additionally, Chairman Hwang concurrently serves as the head of iM Bank, and when adding the bank head's compensation (200 million won), he ultimately received 780 million won.

Among regional financial holding companies, JB Financial has the highest average employee compensation. Last year, the average compensation for JB Financial Group employees (110 people) was 170 million won, an increase of 10 million won compared to the previous year. The average compensation at DGB Financial and BNK Financial decreased. Employees at DGB Financial Group (134 people) received 119 million won, and those at BNK Financial Group (248 people) received 101 million won. In 2023, DGB Financial employees received 125 million won, and BNK Financial employees received 106 million won in compensation.

The annual salaries of the chairmen of BNK Financial Group and JB Financial Group, which recorded their highest performances last year, are expected to increase further in the coming years. Most financial holding companies and banks divide performance-based compensation into long-term and short-term payments, with the long-term portion usually calculated and paid based on several years of combined performance. BNK Financial Group recorded a cumulative net profit of 802.7 billion won last year, a 25.5% increase compared to the previous year. JB Financial Group achieved a net profit of 677.5 billion won, up 15.6%. Both companies recorded their highest-ever cumulative net profits. In contrast, DGB Financial recorded 220.8 billion won, a 43.1% decrease due to the slump in real estate project financing (PF). In response, Chairman Hwang Byung-woo expressed his regret in a shareholder letter, stating, "I sincerely apologize that the recent performance of the group did not meet your expectations."