This post is trending amidst ongoing public debate in Korea about corporate responsibility, wealth distribution, and how the profits of major conglomerates should best benefit the national economy. It was likely triggered by recent news of large bonus payouts by major companies like Samsung.
A hot debate is brewing online in Korea about how corporate profits should be distributed, and one viral post is arguing strongly for employee bonuses over shareholder dividends. The core idea? To truly get a 'trickle-down effect' (낙수효과) benefiting the entire nation, the money needs to stay and circulate within the domestic economy.
The argument goes like this: when big companies like Samsung pay out massive performance bonuses to their employees, especially high-earning 'salarymen' (월급쟁이), a significant portion goes straight to the national treasury through income tax. This tax revenue can then be used for public infrastructure and welfare, potentially even surpassing corporate tax contributions. Furthermore, these employees, often with 'glass wallets' (유리지갑) that see their income taxed at the source, are more likely to spend their extra cash on things like dining out, directly boosting local businesses and stimulating domestic consumption.
On the flip side, the post argues that dividends are far less beneficial. A large chunk, often half or more, goes to foreign shareholders and investment banks, leading to 'national wealth outflow' (국부유출). These foreign entities, the author claims, are adept at avoiding taxes and rarely let any 'crumbs' fall to ordinary people. For individual retail investors, often called 'ants' (개미) in Korea, the dividend amounts are usually tiny, making little difference to their personal finances or ability to reinvest. The post concludes by suggesting that much of the opposition to large employee bonuses stems from 'bellyache' (배아픔) – a sense of envy that a peer might be earning a substantial sum, even if foreign entities are taking far more out of the country without much public outcry.
🇰🇷 KOREAN REACTIONS 9
If it's not illegal, people earn what they're capable of... why get a bellyache over someone else's success that's beyond your control?
Did foreign investment banks put a straw into Samsung or something? Are you seriously saying don't give to shareholders, give to employees?? Whoa.
@mericrius The point is that employee bonuses are better for the domestic economy and national finances. I'm just saying this because there are so many YouTube and internet comments getting a 'bellyache' over employee bonuses. And this post isn't meant to be read in such an extreme, black-and-white way, whoa. Exaggerating with interjections and pushing someone's words into black-and-white logic is pretty rude.
@mericrius I don't think they're saying 'don't give any' (to shareholders).
@mericrius Anyway, the money for shareholders and the money for employees are separate. If they don't give it to employees, will all that money go to shareholders? Absolutely not. Samsung caring about shareholders? No way.
@KangAnNamJa Ah, so you mean give *less* to shareholders, not nothing at all. Of course, they should reinvest for the future, not give everything to shareholders.
Of course, bonuses decided through labor-management negotiations should be paid. But for a super-giant like Samsung, giving 15% of operating profit *only* as bonuses to direct employees in *some* divisions... that's something to think about regarding overall wealth distribution for society, starting with their subcontractors.
@YeoncheonGun The subcontractor issue is really difficult. Third-tier subcontractors and above, which Samsung can control, probably already enjoy the trickle-down effect. But for those below that, it's a problem of the overall economic structure and system, which a private company can't fix in six months. I truly respect your deep thoughts, but if you criticize like this, companies might just hoard retained earnings instead of doing anything. From a social distribution perspective, it's best for employees to spend a lot and boost the domestic economy.
@KangAnNamJa So, to boost domestic consumption, they should pay bonuses in local currency (vouchers)!