Hanwha says Samsung workers safe after merger

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Hanwha says Samsung workers safe after merger

Hanwha Group has created a team to oversee the smooth integration of the company’s newly purchased Samsung affiliates.

Hanwha made a deal with Samsung Group in November to obtain Samsung’s two defense units, Samsung Techwin and Samsung Thales, and its two chemical affiliates, Samsung General Chemical and Samsung Total.

On Sunday, the company issued a press release to clear rumors that workers at the four Samsung affiliates will have their salaries cut or could be laid off when they move to Hanwha.

Hanwha said its new merger will focus on helping employees transition from Samsung.

The group said it will try its best not to reduce employee’s welfare benefits and would maintain the initial values of the businesses after the merger.

Hanwha Corp. co-CEO Shim Kyung-seob will lead the corporate integration program for Samsung’s former defense arms, while former Hanwha Q Cells CEO Kim Hee-chul will be in charge of Samsung’s former chemical affiliates.

“Hanwha Group has a corporate philosophy in which the foremost value is trust and communication with our employees,” said Shim. “We promise respect, trust and stable employment status to employees of the four Samsung affiliates, who are soon going to be part of our Hanwha family.”

The four former Samsung affiliates will be managed by the current Samsung executive.

For all working-level employees, Hanwha promised that the retirement conditions, salaries and welfare benefits would not change.

Hanwha said there will be no sell-offs of any of existing private-sector defense projects at Samsung Techwin or Samsung Thales. The company said it will maintain existing business structures and ongoing projects at the Samsung affiliates, such as hardware and software technology related to CCTVs.

“Hanwha doesn’t consider the mergers as a simple acquisition of some Samsung affiliates, but as an opportunity to create synergy with our existing businesses,” the press release said.

The deal between Samsung and Hanwha Groups will be finalized by the first half of next year. The new task force will finish structural integration, register the company with the government, and pay off the merger costs.

BY KIM JI-YOON [jiyoon.kim@joongang.co.kr]
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