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Company Ranks and Titles to Change

15:42 June 02, 2017 replay time01:42

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[Anchor]

Recently major companies have been setting out to reorganize their rank system.

Some companies made significant changes, such as having employees calling one another by name followed by the honorific suffix "nim," and some are even using English nicknames.

Kim Jong-sung has more.

[Reporter]

Starting next month, LG Electronics will be reducing its previously five-level ranking system to a three-level system.

Employees will remain the same, but the deputy section chief and director will be called "Senior" and the deputy head and head of department will be called "Person in Charge."

<So Ji-sup / LG Electronics Promotion Team> "We're expecting to communicate in a freer and more creative company culture."

Last March, LG Electronics made Monday a "No Meeting Day" in order to reduce the number of days coming to work on weekends, every Friday as "Casual Day" when everyone wears jeans or whatever they want instead of formal attire.

Samsung Electronics also reduced its seven-level ranks to four levels in March, and employees started calling one another by each other's names with an honorific suffix.

Since the end of last month NC Soft too got rid of ranks, such as deputy section chief and director, and had everyone calling one another by name and "nim." Kakao created English names for people to call one another.

This drastic change of the organization culture is an attempt by companies to relieve personnel congestion while also reducing the pressure of employees' promotions by reducing the number of ranks.

The destruction of ranks and titles is expected to spread to large companies' affiliate as well.

But some say these changes have no realistic effect, as the ranks and titles used in accounts and outside sources remain the same in many cases.

How these companies' attempts to raise productivity by improving company culture will come to fruition continues to draw attention.

Kim Jong-sung reporting for Yonhap News TV.

Yonhap News TV: 02-398-4441 (Inquiry on article) 4409 (Report), KakaoTalk/LINE jebo23

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