KB Kookmin Bank to kick off voluntary retirement program
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KB Kookmin Bank, South Korea’s largest retail lender, said Wednesday it will carry out a voluntary retirement program for workers subject to the wage peak system.
The bank will pay the equivalent of between 27 and 36 months of salary to those who are eligible for the retirement program, the lender said. An agreement was made between the labor and the management.
The workers subject to the wage peak system starting from next year can apply for the program. Under the system, employees are supposed to get less pay from the age of 55 to the retirement age of 60.
Major banks in South Korea have made a series of job cuts in recent years to reduce costs and buttress their bottom lines. KB Kookmin Bank has carried out the program annually since 2015.
Questions & Answers
Q.Which employees are eligible to apply for KB Kookmin Bank's voluntary retirement program?
Which employees are eligible to apply for KB Kookmin Bank's voluntary retirement program?
Workers who are subject to the wage peak system are eligible to apply. This specifically includes employees who would start on the wage peak system from next year.
Q.What is the wage peak system mentioned in the article?
What is the wage peak system mentioned in the article?
Under this system, employees receive a reduced salary from the age of 55 until they reach the standard retirement age of 60. It influences pay structure for older workers.
Q.How much compensation will eligible employees receive if they participate in the program?
How much compensation will eligible employees receive if they participate in the program?
Eligible employees who participate in the voluntary retirement program will receive compensation equivalent to between 27 and 36 months of their salary.
Q.Has KB Kookmin Bank offered this voluntary retirement program before?
Has KB Kookmin Bank offered this voluntary retirement program before?
Yes, KB Kookmin Bank has carried out a voluntary retirement program annually. This particular program has been implemented every year since 2015.
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