SOUTH KOREA. Lotte Duty Free, the country’s leading travel retailer and world number two, has introduced a voluntary early retirement scheme – the first in its history – amid widespread business pessimism over the economic climate and the possibility of a global recession.
Lotte Duty Free confirmed to The Moodie Davitt Report that it is targeting 15% of its Korean workforce above assistant manager level (some 160 staff) who have been employed by the company for more than 15 years.
The influential Pulse, the English language title of leading Korean business title Maeil Business, described the restructuring as a “shock” given that Lotte Duty Free swung back into profit in its third quarter after a protracted period of losses due to the pandemic.
Lotte Duty Free’s Q3 sales reached KRW1,276,641,000,000 (US$981.9 million), up +32.9% year-on-year.
As mentioned, operating profits turned to surplus, reaching KRW35,829,000,000 (US$27.6 million).
These numbers exclude domestic goods and Lotte Duty Free’s Busan operations, which are included in Busan Lotte Hotel’s results.
