Lotte Duty Free has entered into emergency management mode amidst continued downturn in the duty-free industry even after the endemic situation.

Lotte Duty Free has entered into emergency management mode amidst continued downturn in the duty-free industry even after the endemic situation.: COMPANY / Reporter Kim SangJin / 2024-06-26 03:09:28

(Photo= Yonhap news)

[Alpha Biz= Reporter Kim Sangjin] On the 25th, Kim Joo-nam, CEO of Lotte Duty Free, announced a message to employees via the company's internal bulletin board regarding the initiation of emergency management.

CEO Kim stated that they will focus on high-intensity restructuring of business units, integrated management of product costs and competitive expenses, significant reduction in sales management expenses, performance-driven organizational restructuring including a 20% reduction in all executive salaries, strengthening responsible management, company-wide voluntary retirement, and workforce restructuring including job transitions to maximize productivity.

As the first step in declaring an emergency management system, Lotte Duty Free decided on the downsizing of the Tower Wing store at the Lotte World Tower branch on the 19th. The Tower Wing store sells regional specialties, products from small and medium-sized enterprises, and occupies approximately 35% of the total area of the Lotte World Tower branch.