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LG rewards cell phone division

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Sept 23,2004
LG Electronics awarded bonuses of up to 100 million won ($74,300) to 200 employees who contributed to developing the company’s new third-generation cellular phones, a company official said yesterday. “About 200 researchers and marketers played big roles in the supply process. Last May, more than 3 million sets of third-generation cell phones were sold to Hutchison, a service provider in Hong Kong,” the LG official said. LG Electronics also recently signed a contract with Orange, a mobile service provider in Europe, to provide handsets. The average bonus given was 10 to 20 million won. “I’m proud to have helped LG to build its foundation for the third-generation cellular phone market,” said a researcher who wanted to remain anonymous despite (or perhaps because) he is 100 million won richer. The company recently adopted a “target incentive system,” for its employees who meet pre-set goals. “The target incentive system reflects our company’s culture that compensates workers’ achievements,” said Park Hyeong-il, a department head in the company. by Lee Hee-sung, Choi Sun-young


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