SEOUL, Sept 26 (Reuters) - South Korean battery maker SK
On said on Thursday it plans to introduce voluntary measures
aimed at reducing its workforce, as the company seeks to improve
efficiency and remain competitive in a challenging electric
vehicle market.
SK On, the battery unit of energy group SK Innovation
, said in a statement it plans to offer programmes
offering special leave and voluntary departure options as part
of an efficiency scheme.
"These are proactive measures to establish a lean, agile
workforce, so that we can better navigate shifting EV market
conditions," SK On said.
"While the company pushes to improve efficiency and
secure grounds for sustainable growth, we are fully committed to
supporting the career development of our employees who have
contributed to our success in becoming a top-tier battery
maker," it said.
SK On, which supplies EV batteries to Ford Motor ( F ),
Hyundai Motor ( HYMTF ) and Volkswagen among
others, has been struggling with a drop in battery shipments
amid a global slowdown in EV sales.
Ford, General Motors ( GM ), and other car makers have
delayed or cancelled new electric models to avoid spending
heavily on vehicles that consumers are not buying as quickly as
anticipated.
As part of the efficiency measures, SK On said it is set to
offer a voluntary package to employees who agree to leave,
including offering staff who joined the company before November
last year 50% of their salaries to retire early.
The company employed 3,558 people as of the end of June this
year, a regulatory filing showed.
SK On, which has never made a profit since it was split off
from SK Innovation in 2021, booked an operating loss of 460
billion won ($346.10 million) in the April-June quarter, versus
a loss of 332 billion won in the previous quarter.
Shares of SK Innovation were trading down 0.9%, versus the
benchmark KOSPI's 2.1% rise as of 0357 GMT.
($1 = 1,329.1000 won)