Following the Hanjin Group labor union’s endorsement of Chairman Cho Won-tae last week, former executives have also stepped up to support the current management, according to their statement Friday. Issued in the name of the former executive council, they said, “We fully trust and support the current management centering on Chairman Cho.” The group consists of about 500 retirees who served as executives at the group. “Despite the challenging business environment,

Industry Feb. 21, 2020

South Korea’s tobacco giant KT&G is the most profitable company among the nation’s top 30 conglomerates, while Hanjin Group and Doosan Group, on the contrary, are in urgent need of improving their financial health, data showed Thursday. Local corporate tracker Korea CXO Institute surveyed the net profit margin of the nation’s top 30 companies between 2008 and 2018 using data submitted to the Korea Fair Trade Commission. According to the survey, the total revenue generat

Industry Feb. 20, 2020

Hyundai Motor Group Chairman Chung Mong-koo will step down as the chair of the board, as he was not reappointed as an internal director at the firm’s board meeting, the automaker said Wednesday. Chung, who had been the board chair since 1999, will retain the positions of Hyundai Motor’s unregistered executive and Hyundai Mobis’ registered director. He has been stepping away from day-to-day management and has not attended board meetings since 2018. Upon the departure of Chu

Mobility Feb. 19, 2020

Korean low-cost carrier Eastar Jet has decided to tighten its belt by reducing executive wages and workweek, amid the continued spread of the novel coronavirus that apparently originated in China, according to the company on Wednesday.  The firm said the executives agreed to reduce 30 percent of their salaries from March for four months. It also will accept applications from all employees -- barring flight and cabin crew -- for three-day and four-day workweeks. Employees can choose one o

Industry Feb. 19, 2020

Only eight companies, including Samsung Electronics, LG Electronics and Hyundai Motor, have been ranked among Korea’s top 50 listed companies in revenue for 35 consecutive years. Seventy percent of the largest companies were found to have lost their ranks or changed ownership, data showed Tuesday. Local research firm Sustainable Growth Institute surveyed sales data of the nation’s 50 largest companies by revenue between 1984 and 2018. The surveyed companies are in the manufacturin

Industry Feb. 18, 2020

Attention is turning to who will replace the leadership on the boards of Korea’s tech and automobile behemoths -- Samsung Electronics and Hyundai Motor -- at the upcoming general shareholders meetings in March. On Friday, Lee Sang-hoon, chairman of Samsung Electronics’ board, resigned from his role after being found guilty of sabotaging labor unit activities. Lee was sentenced to 18 months in jail in December upon conviction of violating labor union-related laws. On his resignat

Industry Feb. 17, 2020

Despite public apathy and tougher shareholder censure, South Korea’s chaebol groups have been preparing for 3rd to 4th generational shift in their ownership. The Korea Herald looks into different groups, different families and different scenarios for their power handover. - Ed.  In taking over their parents’ multibillion-dollar chaebol, heirs follow a similar path. Young heirs begin their careers at key affiliates, usually at a manager level, and fast ascend to executive po

Industry Feb. 17, 2020

Hanwha Systems, the defense unit of Hanwha Group, said Sunday it would take part in an air taxi project by US personal air vehicle company Overair. On Friday, the opening ceremony of the US company -- recently spun off from aerospace-development firm Karem Aircraft -- was attended by CEO Ben Tigner and Hanwha Systems CEO Kim Yeon-chul. In December, the US Committee on Foreign Investment approved Hanwha Systems’ investment of $25 million in Overair. The Korean firm said it would contri

Industry Feb. 16, 2020

South Korea’s Fair Trade Commission is set to report Naver Chairman Lee Hae-jin to prosecutors for alleged violation of antitrust laws, officials said Sunday. The antitrust watchdog said Lee is accused of omitting 20 affiliates, including Line Friends and some of his own and relatives’ companies, when submitting data to the FTC in 2015. The company was also found to have omitted eight affiliates owned by executives of nonprofit companies wholly owned by Naver in 2017 and 2018. Ea

Industry Feb. 16, 2020

An increasing number of disputes are being reported between consumers and travel agents over trip cancellation fees, as the coronavirus outbreak continues to stifle international travel. The nation’s major travel agencies have been waiving cancellation fees for travel products such as flights, hotels and car rentals involving China, Hong Kong and Macao. However, as the government has further encouraged people to limit their travel to Japan, Taiwan, Malaysia, Vietnam, Thailand and Singapo

Industry Feb. 13, 2020

South Korea’s antitrust watchdog has slapped convenience store chain BGF Retail with a fine of 1.6 billion won ($1.31 million) for violating a subcontracting law, officials said Thursday. The Fair Trade Commission said CU, one of the leading convenience store chains in Korea, was found to have forced subcontractors to pay more than 50 percent of costs for buy-one, get-one-free marketing activities between 2014 and 2016.  During the period, the retail firm set up an operation strat

Industry Feb. 13, 2020

All of Hyundai Motor Group’s listed subsidiaries will introduce an electronic voting system, with the aim of shareholder friendly management, the group said Wednesday. Until last year, Hyundai Glovis, Hyundai Bng Steel and Hyundai Motor Securities had preemptively introduced the e-voting system to allow wider participation from shareholders. This year, the remaining nine listed subsidiaries decided to adopt the electronic voting. The units are Hyundai Motor, Kia Motors, Hyundai Ste

Mobility Feb. 12, 2020

Korea Aerospace Industries said Thursday it is participating in the Singapore Airshow 2020 to showcase a variety of high-tech aircraft. The Singapore Airshow, which kicked off Tuesday, is one of the world’s three largest air shows, along with the Paris Airshow and Farnborough Airshow. During the six-day event, KAI presents various aircraft, including light combat aircraft FA-50, basic training aircraft KT-1 and transport utility helicopter Suorin. It also displays high-tech aircraft i

Industry Feb. 12, 2020

Capping off the historic moment at the 92nd Academy Awards on Sunday was a relatively unfamiliar face, thanking everyone from her brother to the Academy and general moviegoers for the best film win. That was Lee Mi-kyung, vice chairman of South Korea’s retail and entertainment mogul CJ Group, who -- without the need for a translator -- shared her joy with director Bong Joon-ho and the cast and crew of the first non-English-language film to win the Academy of Motion Picture Arts and Scien

Industry Feb. 10, 2020

The continued spread of China’s new coronavirus is hitting the South Korean economy hard, adversely affecting many sectors including travel, tourism, services, airlines and auto firms. Among them, the tourism industry has been more severely affected due to fears of infections in tourist spots and airports where many people gather. Hana Tour, the nation’s biggest tour agency, saw overseas travel demand dip around 50 percent last month. It is urging employees to apply for unpaid l

Industry Feb. 10, 2020