Salary Increase Trends in Korea April 30, AMCHAM Presentation Material - W A T S O N W Y A T T
Table of Contents Salary Increase Rate Salary Increase Rate – by Industry Salary Increase Rates Salary Increase Rates Executive Compensation Executive Compensation Top Management Senior Management
2 Salary Increase Rates Salary Increase rate has been steadily decreased since Inflation Rate The statistics for the year 2004 are forecasts Sources: The Bank of Korea Watson Wyatt Strategic Rewards Survey Reports (As of July 1, 2003) (Unit: %) Salary Increase Rate Salary Increase and Inflation Rates in Korea
3 ( Unit: %) Salary Increase Rates (cont ’ d) Salary Increase Rates - by Industry The statistics for the year 2004 are forecasts Sources: Watson Wyatt Strategic Rewards Survey Reports (As of July 1, 2003) Health care industry exhibits the highest salary increase rate, and industrial exhibits the lowest salary increase rate among hi-tech, consumer, industrial, and health care industry. Salary Increase rate of Hi-tech industry decreased sharply between 2001 and 2002 due to burst of the IT bubble. Hi-tech Consumer INdustry Health Card
4 Table of Contents Salary Increase Rate Salary Increase Rate – by Industry Salary Increase Rates Salary Increase Rates Executive Compensation Executive Compensation Top Management Senior Management
5 Executive Compensation Top Management* Total Cash - by Industry * Top Management: Highest executive positions in organizations (General Managers, Vice Presidents) Sources: Watson Wyatt Strategic Rewards Survey Report (As of July 1, 2003) (Unit: 1,000 KRW)
6 Executive Compensation (cont ’ d) Senior Management* Total Cash - by Industry * Senior Management: Head of functions or executive positions (Senior Executives, Directors) Sources: Watson Wyatt Strategic Rewards Survey Report (As of July 1, 2003)