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GS25 convenience store in Yeouido, Seoul. (Photo courtesy of GS Retail) |
[Alpha Biz= Kim Jisun] Seoul, South Korea — GS Retail, the GS Group distribution affiliate that operates GS25 convenience stores and GS Shop, has implemented a voluntary retirement program for employees in their 40s with more than 20 years of service, according to an exclusive report by Newsis on December 3.
The program was offered to employees aged 46 and above who have worked at the company for at least two decades.
Under the package, eligible employees receive regular severance plus an additional 1.5 years’ worth of salary, along with up to KRW 40 million per child for education support. Instead of issuing a public notice, GS Retail reportedly contacted eligible employees individually.
The move is seen as part of GS Retail’s broader efforts to increase organizational efficiency and restructure operations.
Last month, GS Retail reorganized its structure into three Business Units (BUs) and one Support Unit (SU). Previously operating under two BUs—the Platform BU (convenience store and supermarket divisions) and the Home Shopping BU—the company elevated the convenience store and supermarket divisions to independent BUs, forming a new three-core-business structure.
GS Retail stated that it branded the initiative as a “Second Life Career Support Program,” offering qualified employees the opportunity to explore new career paths.
Meanwhile, voluntary retirement programs have been spreading across Korea’s retail industry amid a prolonged economic downturn.
Lotte Chilsung Beverage initiated a program for employees with more than 10 years of service.
Lotte Members conducted its first-ever voluntary retirement.
Korea Seven, operator of 7-Eleven, accepted voluntary retirements for the second consecutive year.
Lotte Wellfood in April offered early retirement to employees aged 45 or older with at least 10 years of service.
Hyundai Department Store Duty Free and Shilla Duty Free, both struggling with a sluggish duty-free market, carried out voluntary retirement rounds in April.
11Street has implemented voluntary retirement for three consecutive months this year as part of accelerated restructuring.
LG Household & Health Care also launched a program for its beauty sales promotion staff.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
