LS Electric is accelerating its global business growth and talent acquisition by expanding its performance-based compensation system.
On July 16, LS Electric announced the implementation of Restricted Stock Units (RSUs) and stock grants for all employees.
RSUs are a form of compensation where employees receive company shares upon meeting certain conditions, such as tenure and performance, linking personal rewards to the company's value increase.
This year, the company has broadened the eligibility for RSUs and extended the program to local employees abroad. This move aims to enhance long-term retention and motivation among top talent as the company expands its global operations, particularly in North America.
LS Electric introduced the RSU system for general employees in 2022, becoming the first in the LS Group to do so, and has since continued to expand its application. This initiative aligns with the long-term performance reward systems employed by major global tech companies to secure key talent.
In addition to its compensation system, the company is also focusing on establishing a horizontal organizational culture. It is implementing a unified title system of 'Manager,' conducting town hall meetings, and promoting intergenerational mentoring to strengthen a performance- and capability-oriented culture.
Furthermore, LS Electric is expanding its open recruitment for new hires and internship programs linked to employment, and it has established a re-employment committee for retirees, enhancing its talent acquisition policies.
As competition for securing key talent intensifies in the power equipment industry due to the recent growth of AI data centers and power infrastructure markets, more companies are adopting or expanding long-term stock compensation.
Under its 'Vision 2030' strategy, LS Electric aims to achieve 70% of its revenue from overseas by 2030 and to become one of the top four power companies in the United States. The company plans to enhance employees' sense of ownership through a performance-sharing compensation system, laying the groundwork for sustainable growth.
* This article has been translated by AI.
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