The Hanmi Group is set to revamp its employee performance compensation system to align with its transition to global management. The group has announced the introduction of a stock-based compensation system, aiming to strengthen its performance-driven culture and expedite the acquisition of globally competitive talent.
Hanmi Science, the holding company of Hanmi Group, along with key affiliates including Hanmi Pharmaceuticals, announced the implementation of the “stock-based performance compensation system” on August 1. This initiative targets all employees of the group’s core affiliates, excluding major shareholders. The system will also encompass Online Pharm, its healthcare distribution subsidiary, and Hanmi Fine Chemical, its active pharmaceutical ingredient affiliate.
The compensation system involves two primary methods. Firstly, the RSA allows employees to receive existing performance incentives in shares. Employees can receive 50% to 100% of their performance bonuses in stocks based on semi-annual evaluations, with the company covering any losses in case of stock price drops. The RSU focuses on long-term performance rewards, with plans to distribute up to 100% of an employee’s annual salary in shares, awarded differentially to those who significantly contribute to the company’s value through new drug approvals or technology exports.
Through this new system, Hanmi aims to attract top global talent and establish a performance-based reward structure to enhance corporate value. The initiative will be finalized following board approval and will apply to employees active at the time of implementation. Kim Jae-kyoo, CEO of Hanmi Science, stated, “In an increasingly competitive global pharmaceutical and bio market, performance-based rewards are crucial for securing future competitiveness. We aim to foster an organizational culture where all employees take ownership and participate in growth.”