Nexon subsidiary addresses bonus payment issues, working hours amid union-led strike

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Nexon subsidiary addresses bonus payment issues, working hours amid union-led strike

Neople headquarters located on Jeju Island [NEOPLE]

Neople headquarters located on Jeju Island [NEOPLE]

 
Amid a strike by the labor union of game developer Neople, the group on Wednesday issued an internal notice outlining its position on key issues, including bonus payments and working conditions. 
 
The labor union claimed that it had not received performance-based incentives in the years leading up to the release of its game Dungeon & Fighter Mobile. In response, Neople, a subsidiary of Nexon Company, stated that it had distributed 30 billion won ($22.1 million) in incentives to teams involved in the project prior to the first round of growth incentive (GI) payments following the game’s launch in China. 
 

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Neople explained that it operates two primary incentive structures under Nexon’s guidance: the GI system, which allocates a portion of profits to teams involved in new game development for up to two years postlaunch, and the KPI incentive (KI) system, which applies to ongoing live service teams after the GI period ends.
 
The company said the Korean release of Dungeon & Fighter Mobile was pushed forward due to external uncertainties surrounding the game’s launch in China. According to Neople, the GI system was initially intended to apply for two years following the Korean launch, with the KI system beginning upon the game’s release in other markets, including China. 
 
Neople stated that it later decided to extend the GI period by an additional two years should the game be launched in China. The company said it also reduced the payout rate during the extended period from 30 percent to 20 percent to reflect fees paid to foreign publishers.
 
The company added that KI bonus payments to departments not eligible for GI — excluding executives — had increased by 20 percent year-on-year.
 
A promotional image for Nexon's Dungeon & Fighter Mobile serviced in mainland China [NEXON]

A promotional image for Nexon's Dungeon & Fighter Mobile serviced in mainland China [NEXON]

 
Addressing claims of reduced bonuses for the PC-based Dungeon & Fighter, Neople said payouts had decreased due to lower revenue. The company said it had distributed special bonuses from the Chinese GI pool for Dungeon & Fighter Mobile, acknowledging the role of the existing intellectual property in the game’s success.
 
On union complaints about excessive working hours, Neople said its average daily overtime was 44 minutes, compared to a Nexon-wide average of 30 minutes, which the company called a marginal difference. 
 
In response to concerns over housing support, the company said that 33 units of company housing remained available and that it had expressed willingness to consider proposals for increased subsidies and additional support for employees based in Jeju.
 
“Neople is committed to performance-based compensation and operates a variety of bonus systems. Equal distribution of rewards is not compatible with the nature of our industry,” a company representative said. “However, we are exploring ways to enhance transparency in the bonus system and ensure long-term, sustainable growth with our employees.”
 

BY KIM MIN-YOUNG [[email protected]]
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