[Edaily Reporter Kim Hyun-ah ] Under Chairman Kim In-gwan, the KTCorporation Labor Union has secured a base salary increase and a one-time lump-sum payment of 3 million won for the third consecutive year. The cumulative base salary increase from 2024 through this year stands at approximately 10%. This year’s tentative agreement on the wage and collective bargaining agreement (WCBA) received a 94.5% approval rate in a union member vote, marking the highest level of support in the past three years.

According to labor and management sources at KTCorporation(030200) on the 19th, this year’s tentative WBC agreement includes a 3% base salary increase and a one-time payment of 3 million won per person, as well as improvements to the performance evaluation compensation system, expanded medical expense support, pension savings support, and improvements to the wage peak system.

In particular, the pay increase rate based on performance evaluations (high-performance grade), which had averaged 2.0%, was raised to an average of 2.56% as a result of these negotiations.

Under Chairman Kim’s leadership, base pay increased by 3.5% in 2024, 3% in 2025, and 3% in 2026. A simple sum of these increase rates totals 9.5%, but when accounting for the cumulative effect—where the following year’s increase rate is applied to the previous year’s raise—the total reaches approximately 10%. The annual lump-sum payment of 3 million won is separate from the base pay increases.

In 2024, an agreement was reached on a 3.5% base salary increase and a lump-sum payment of 3 million won. The conditions for the wage peak system were partially relaxed, and welfare programs—including measures to address the low birth rate—as well as various allowance systems were improved.

For 2025, a 3% increase in base pay and a lump-sum payment of 3 million won were finalized. Support for communication expenses was expanded to a maximum of 160,000 won per month, covering both mobile phone bills and device costs. Support for self-development business trips based on years of service was also improved. Among the requirements for promotion to the G5 level, the condition requiring two years of experience in the position was eliminated, and the salary for Senior Consultants was raised from 37.43 million won to 40 million won annually. A paid leave system was also established for employees nearing retirement.

This year, the company decided to raise base pay by a total of 3%—comprising a 2% percentage-based increase and a 1% fixed-amount increase—and to provide a lump-sum payment of 3 million won. The base pay increase will be applied retroactively starting from January of this year. The retroactive payment for January through September will be issued on October 23, and the increase will be reflected in salaries starting with the October paycheck.

The performance evaluation and compensation system has also been revised. The proportion of S-grade evaluations will increase from 10% to 20%, E-grade evaluations from 30% to 40%, and G-grade evaluations will decrease from 50% to 30%. The union explained that this change will effectively raise the average performance evaluation increase rate from the previous 2% to 2.56%. Starting this year, the performance evaluation method for IT positions will also shift to relative evaluation.

Improvements have also been made in the areas of welfare and job security. Starting in 2027, employees who enroll in pension products offered by designated financial institutions will receive a monthly subsidy of 50,000 won for each month of service. The medical expense subsidy limit per employee will be expanded from 10 million won to 20 million won annually. The combined family support limit is set at a maximum of 10 million won.

The pay rate for employees subject to the wage peak system will also be increased. For employees aged 58–59 who received an “S” grade in the previous year’s performance evaluation, the pay rate will be raised from the current 80% to 90%; for those with an “E” grade, it will be raised to 85%. However, employees who received an “N” grade in the competency evaluation will be excluded from this increase. These improvements will take effect in January 2027.

A joint labor-management task force (TF) to prepare for the extension of the retirement age is scheduled to begin operations in the fourth quarter of this year. The task force will discuss workforce management and improvements to the personnel system; starting in 2027, the discretionary compensation system for department heads will be abolished and integrated into a personnel reward system based on performance and contribution.

The approval rate for this year’s tentative agreement was 94.5%, surpassing the 90.8% recorded in 2025. This is believed to be due to the fact that, in addition to securing base salary increases and lump-sum payments for the third consecutive year, an agreement was reached this year on improvements to welfare benefits and personnel systems, which influenced union members’ support.

The union stated that, as these were the final negotiations for the 15th executive committee, it focused on fulfilling the pledges made to union members. In particular, regarding wage increases, the union explained that it made every effort to come as close as possible to its pledge of a double-digit increase.

Meanwhile, with Chairman Kim’s term coming to an end, the KTCorporation Labor Union will begin forming its 16th executive committee next month.