Taeyoung Construction Yeouido office. (Photo = Taeyoung Construction)

 

[Alpha Biz= Reporter Paul Lee] Taeyoung Construction will cut 22 executives, including its chairman, and cut their salaries by up to 35%

Taeyoung Construction Yeouido office. (Photo = Taeyoung Construction)

Taeyoung Engineering & Construction, which is undergoing a workout, has decided to reduce the number of executives, including founder Yoon Se-young and chairman Yoon Seok-min, and cut executive salaries for three years.

According to the financial sector on the 19th, Taeyoung Engineering & Construction submitted a self-rescue plan to the state-run Korea Development Bank, which calls for reducing executives and reducing salaries as part of its corporate improvement plan.

Taeyoung Construction decided to cut its executives by 22 people, including the dismissal of Yoon Se-young, chairman of the startup, and Yoon Seok-min, chairman of the company.

Instead, the two chairmen will only serve as the founding chairman and chairman of TY Holdings, a holding company.

Yoon Se-young, founder of the company, was appointed chairman of the board of directors last month at TY Holdings' regular shareholders' meeting and board of directors with the aim of completing responsible management. Chairman Yoon Seok-min was also excluded from the board of directors of TY Holdings.

Executive pay cuts will also be made.

Salary will be reduced by 35% for the president or higher, 30% for the vice president, 20% for the executive director, 15% for the executive director, and 10% for the executive director.

Employees' salaries will be frozen from 2024 to 2026.

In addition, Taeyoung Construction will reduce operating costs such as education and training costs and advertising promotion costs, and minimize entertainment and other costs.

Technology development costs are expected to decrease as participation in orders decreases.

 

 

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