Homeplus faces record 387.1 billion won in cumulative wage arrears

Homeplus, currently undergoing corporate rehabilitation, has recorded a cumulative wage arrears total of 387.1 billion won between December last year and August this year. This figure represents the largest single-company wage delinquency on record, significantly exceeding the 119.7 billion won previously held by the Daewoo Winia Group.

While the company has settled 320.7 billion won of the total, 66.4 billion won remains unpaid. This outstanding amount includes 51.3 billion won in wages from July and August, 12.9 billion won in severance pay for former employees, and 2.2 billion won in unused annual leave allowances. In July and August alone, thousands of workers were affected by delayed payments.

Furthermore, the company’s severance pay reserves are below the legal minimum. The total required reserve is approximately 694.6 billion won, but actual payments stand at only 569.2 billion won, leaving a deficit of 125.4 billion won. The reserve rates for both Defined Benefit (79.9%) and Defined Contribution (85.9%) plans fall short of the 100% legal requirement.

Following court approval of its rehabilitation plan on August 2, Homeplus has begun resuming operations at 67 stores. However, concerns remain that a prolonged rehabilitation process could lead to further unpaid severance and secondary damage to workers' livelihoods.