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Samsung Electronics Chairman Lee Kun-hee

Thirty top figures from the ruling families of South Korea‘s chaebol made at least 10 billion won (US$8.8 million) in compensation and cash dividends last year, a study shows.

Data published on May 7 by the website Chaebul.com from an analysis of the companies’ project reports showed Samsung Electronics Chairman Lee Kun-hee coming out on top with 195.3 billion won (US$172 million) in total earnings for 2016, including dividends, regular pay and bonuses, severance pay, and exercising of stock options. Lee is currently under care at Samsung Seoul Hospital after suffering an acute myocardial infarction on May 10, 2014. While he has retreated from an active management role, Lee‘s stocks - which include 4.98 million shares in Samsung Electronics - have yet to be donated or bequeathed. Samsung Electronics has been increasing its cash dividends in response to shareholder demand.

The next biggest earner was Hyundai Motor Group Chairman Chung Mong-koo, who received 88.7 billion won (US$78.1 million) in dividends and 9.3 billion won (US$8.2 million) in pay last year for a total of 98 billion won (US$86.5 million). Among third-generation managers from the Hyundai Motor and Samsung ruling families, Hyundai Motor Vice Chairman Chung Eui-sun earned 57.2 billion won (US$50.4 million), including 55 billion won (US$48.4 million) in dividends and 2.2 billion won (US$1.9 million) in pay, and Samsung Electronics Vice Chairman Lee Jae-yong earned 48.8 billion won (US$43 million), including 47.7 billion won (US$42 million) in dividends and 1.1 billion won (US$969,000) in pay. Lee Kun-hee’s wife, former Leeum, Samsung Museum of Art director Hong Ra-hee, who owns a 0.77% share of Samsung Electronics, earned 30.9 billion won (US$27.2 million) in cash dividends alone.

SK Group Chairman Chey Tae-won earned 62.6 billion won (US$55.1 million), including 61 billion won (US$53.7 million) in dividends and 1.6 billion won (US$1.4 million) in compensation. AmorePacific Group Chairman Suh Kyung-bae came in next with 34.3 billion won (US$30.2 million), followed by Meritz Financial Group Chairman Cho Jeong-ho with 31.9 billion won (US$28.1 million) and LG Group Chairman Koo Bon-moo with 31.4 billion won (US$27.7 million). From the Hyosung Group’s ruling Cho family, Chairman Cho Hyun-joon, Hyosung President Cho Hyun-sang, and former Chairman Cho Suck-rai all passed the 20 billion won mark in earnings at 26.7 billion won (US$23.5 million), 22.8 billion won (US$20.1 million), and 22.4 billion won (US$19.7 million) in respective earnings. Lotte Group Chairman Shin Dong-bin earned 17.5 billion won (US$15.4 million) in dividends and earning last year, while Hankook Tire Chairman Cho Yang-rai made 14.9 billion won (US$13.1 million) and GS Group Chairman Huh Chang-soo made 14.5 billion won (US$12.8 million). Shinsegae Group vice Chairman Chung Yong-jin made 12.2 billion won (US$10.7 million) in stock dividends but avoided executive pay disclosure because he is not a registered board member.

By Lee Wan, staff reporter

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