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SK hynix employees to get largest-ever performance bonuses this week after chipmaker's record-setting year

Published: 04 Feb. 2026, 21:11 Updated: 05 Feb. 2026, 14:15

SK hynix's headquarters in Icheon, Gyeonggi is seen on Jan. 29. [YONHAP]

SK hynix will pay its largest-ever performance bonuses to employees after having set this year’s profit-sharing (PS) payout rate at 2,964 percent, according to industry sources on Wednesday.

Under this year’s new payout rate, an employee with an annual salary of 100 million won ($68,600) would receive a performance bonus of 148.2 million won. The bonuses will be paid on Thursday.

The PS system is SK hynix’s annual performance-based bonus program, under which a certain percentage of annual salary is paid once a year using 10 percent of the company's operating profit as the funding source, depending on the company’s yearly results.

Starting this year, SK hynix applied a new system that was agreed upon between labor ad management in the second half of last year.

Under the new standard, the previous cap on PS payouts, which was set at a maximum of 1,000 percent, has been abolished. The entire 10 percent of the previous year’s operating profit will be used as the bonus pool. The company has agreed to maintain this system for the next 10 years.

Of the bonus amount calculated for each employee, 80 percent will be paid this year, while the remaining 20 percent will be deferred and paid over the following two years, 10 percent each year.

A visitor walks past the logo of SK hynix during the Korea Electronics Show 2025 at Coex in Gangnam District, southern Seoul on Oct. 22, 2025. [AFP/YONHAP]

The compensation level is comparable to those at major global semiconductor companies. Taiwan’s TSMC, the world’s largest foundry operator, also pays performance bonuses equivalent to about 10 percent of its annual operating profit.

“As AI semiconductor competition intensifies, capital investment and the recruitment and retention of key talent have emerged as core factors of competitiveness,” an SK hynix official said.

“The company’s compensation system, which provides differentiated rewards for top talent, is expected to help prevent the outflow of semiconductor experts and secure global talent, allowing us to maintain a long-term competitive edge.”

SK hynix posted revenue of more than 97 trillion won and an operating profit exceeding 47 trillion won last year, driven by a surge in demand for AI semiconductors. The results marked another record-breaking year following its previous all-time high in 2024.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY JUNG SI-NAE [[email protected]]