 |
LG Display headquarters in Seoul. (Photo: Yonhap News) |
[Alpha Biz= Kim Jisun] SEOUL, Oct. 16 — LG Display announced plans to implement a voluntary retirement program for office employees, following a similar program for production workers earlier this year. This marks the company’s first office staff voluntary retirement initiative in about a year, since November 2023.
According to industry sources, LG Display held briefing sessions across departments on Wednesday to explain the program, with applications open from October 20 for a two-week period.
The program targets employees with at least three years of service. Eligible participants will receive a retirement compensation package of up to 36 months’ base salary, depending on the remaining years until retirement, as well as educational support for children and other benefits. The total scale of the program will depend on the number of applicants.
LG Display aims to complete the process by mid-November. The company said the move is designed to address market uncertainty caused by fluctuating demand and intensifying price competition, while continuing efforts to strengthen cost competitiveness and organizational efficiency at a company-wide level.
Previously, LG Display conducted a voluntary retirement program for production-line employees in June 2023, and another for office workers in November of the same year — the first in five years since 2019. In June this year, the company also introduced temporary workforce transfers to LG Innotek, where employees were assigned for about four months starting in July, alongside a new production workforce retirement program.
LG Display’s ongoing workforce optimization, cost-reduction measures, and OLED-centered business restructuring have contributed to a gradual improvement in its financial performance.
According to Yonhap Infomax, which compiled data from nine brokerage reports released over the past three months, LG Display is expected to post an operating profit of 440.4 billion won (approx. USD 320 million) in the third quarter, marking a turnaround from an 80.6 billion won operating loss in the same period last year. Analysts forecast that LG Display’s annual operating profit will exceed 800 billion won in 2024.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
