Samsung Samsung Electronics
Samsung Samsung Electronics
SAMSUNG ELECTRONICS
Our extensive initiatives in the economic, environmental and social arenas were widely
recognized in the number of awards we received. Most notably, we were named as one of the
Worlds 50 Most Admired Companies by Fortune
Magazine in May 2009. Not content to rest on this laurel, we will continue in the companys
efforts to live up to its reputation as a leading global company. Id like to take this opportunity to
deliver our deepest appreciation for the continued interest and support of our valued stakeholders
in this report and our sustainability management. While actively listening to and collecting the
opinions of our stakeholders, we will strive to become a highly respected and admired company
in the eyes of the world and our customers.
(subcontractors, outsourced and promoters). The number is expected to grow further given the
corporate policy of global localization and initiatives to recruit a talented, globally diverse
workforce. On the other hand, R&D members number 42,100, taking up about 26% of the total
staff, of which 34,400 are in Korea. Also aware of the importance and social call for an expanded
female workforce, Samsung Electronics sets quotas for female staff by corporate
policy. As a result, we expect that the number of female managers and executive members will
continuously increase.
Work-Life Balance
Because social norms have changed, an increasing number of female workers are
participating in economic activities and retaining high potential employees has become the key
to successful business operations. Happiness has become the overarching value of employees
quality life, giving rise to greater social interest in balancing work and life. Therefore, Samsung
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Electronics also supports and encourages the employees to balance their work and life. In case
anyone works overtime, their supervisor and the employee are notified to insure they comply
with the legal overtime work requirements. For the creativity of the employees, Samsung
Electronics also provides vacations for self-management and other vacation programs including
family theme tour packages.
Welfare Programs
Samsung Electronics shares and cares about its employees concerns over their health,
childrens education and post-retirement life and helps them prepare for their future in order to
enhance employee satisfaction and provide better working environments. In addition to the basic
legal welfare programs such as premium subsidies for National Pension, Industrial Accident
Compensation Insurance and Employment Insurance
encompassing basic knowledge and job training. In addition, specialized mentoring program
maximizes the self-development of new employees and their competence enhancement.
Fair Evaluation and Compensation for Performance Samsung Electronics evaluates the
achievements of individual employees every year along with their competency evaluation.
Annual salaries are graded based on the comprehensive evaluation results, and respective annual
employment contracts are concluded. Samsung Electronics fair performance evaluation schemes
include interim management systems and formal objection procedures to prevent unfairness in
the evaluation scheme. Under the principles of Non-discriminatory Compensation and
Performance-based Compensation, Samsung Electronics strives to ensure fairness and
competitiveness in its compensation schemes. Accordingly, we apply the identical rate to the
same position grades, irrespective of gender, nationality, religion, social
position or age. Compensation is differentiated only according to performance. The
compensation is delivered in the forms of basic salary and performance-based incentives. The
basic salary has a set table of grade-based schemes and the incentives are differentially paid
according to achievements against targets. The incentive program is divided into individual
performance incentives and group performance incentives. The group performance incentives
program is also segmented into productivity incentive and profit sharing. The global
compensation system basically follows a merit based adjustment method, with local discretion in
setting wage systems in compliance with the local regulations of each nation. Respecting Human
Rights and Diversity
Equal Opportunity and Non-discrimination
The Samsung Code of Conduct prohibits discrimination in employment, assignment,
promotion, payment, education andretirement based on academic and / or regional backgrounds,
gender, religion and race. In order to promote female workers participation in economic
activities, Samsung Electronics applies quotas for new recruitment.In 2008, Samsung Electronics
has no cases of violation of the anti-discrimination regulations including gender discrimination.
Prohibition of Forced and / or Child Labor
Samsung Electronics strictly prohibits forced labor and child labor under aged 15 by the
Employment Standards Act. Korea was asignatory to the International Labor Organization (ILO)
in 1991 and ratified the international convention on child labor. In strict accordance with the
international convention, we prohibit forced and child labor in all our business premises
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including overseas plants, while complying with local regulations. We ensure that all our
employees are aged over 18 years. In case of hiring an underage person, we collect and keep in
custody a copy of their family records with their age and the signed, written consent of their
parent or guardian.
Human Rights Education
Samsung Electronics conducts regular education courses to help employees build a
desirable human network and protect human rights. We have a Mutual-Respect Corporate
Culture course and Workplace Manners course. The mutual-respect corporate culture course
is an annual mandatory course for all employees to help them protect human rights, prevent
sexual harassment and improve relationships.
Diversity
Female workers account for 35% of Samsung Electronics total workforce in Korea.
Given the female recruitment quota policy, the number will continue to rise and, accordingly, the
number of female managers will increase within the company. Adopting a disabled vocational
trainee program, we encourage and promote disabled employment. We also assist the physicallychallenged with medical expenses, facilities and other welfare programs. In recognition of these
efforts to promote disabled employment, Samsung Electronics was awarded the grand prize of
True Company by the Ministry of Labor in September 2008. Based on the belief that talented
international workers play an important role in the global
benefit programs to enhance quality of life for employees. Both regular employees and those
working on contract basis can take advantage of numerous benefits which include group
insurance, physical exams, financial aid for medical costs, congratulatory/condolence pay, and
use of leisure facilities. In 2010, we increased the physical exam components to promote the
health of employees.
Child Labor
Discrimination, forced labor and child labor are prohibited in accordance with articles 4, 6 and
16 of the companys rules of employment. In addition, we strictly abide by the 24 ILO
conventions ratified by the Korean government. In 2010, there were no violations of laws and
regulations related to child labor and forced labor.
CONCLUSION
These are the Hr practices and policies followed in the Samsung corporation.