Samsung's chipmaking unit raises initial base salary to match SK Hynix's

Samsung Electronics Co.'s device solutions (DS) division, which manufactures semiconductors and displays, has raised its initial annual base salary for new four-year college graduates to 53 million won ($39,463), equivalent to that of SK Hynix Inc., Samsung’s major competitor.

The updated salary, a 2.9% increase from the previous base salary, will be applied from this month.

Samsung said the salary rise aims to secure competitive talent. Samsung and SK Hynix are the world’s largest- and second-largest memory chipmakers, respectively.

The 53-million-won initial annual base salary is the highest for new four-year college graduates in the Korean chipmaking industry.

Samsung is making efforts to improve its human resources management by introducing some new systems. In May, it started an absolute evaluation system for the CL2 level jobs, or new four-year college graduate employees, and CL3 positions, or managers and senior management.

The chipmaking giant is also accelerating the promotion of CL1, new high school and two- to three-year college graduates, by expanding the upper grades’ percentage in performance assessment and raising incentives for those who earned the top grade.

Write to Sungsu Bae at baebae@hankyung.com
Jihyun Kim edited this article.