South Korea’s top banks have set a new benchmark in executive compensation, surpassing some of the nation’s largest corporations, including Samsung Electronics and Hyundai Motor, with their record salaries for the first half of this year.
According to recent disclosures made to the Financial Supervisory Service, the average earnings for employees at South Korea’s four major banks—Hana Bank, KB Kookmin Bank, Woori Bank, and Shinhan Bank—reached 60.5 million won ($45,300) in the first six months of 2024. This figure significantly outpaces the average salaries of employees at leading South Korean companies.
Hana Bank emerged as the highest payer among the banks, offering an average salary of 67 million won. KB Kookmin Bank and Woori Bank both followed closely, with average salaries of 60 million won each. Shinhan Bank provided an average of 55 million won. In comparison, Samsung Electronics paid an average of 54 million won, while SK hynix, the second-largest semiconductor manufacturer, offered 52 million won, and Hyundai Motor, a leading automotive manufacturer, paid 42 million won.
Despite a slight decrease of 1 million won in the average salary at the four major banks compared to the previous year, their compensation packages still outshine those of the largest corporations. Last year, Samsung Electronics paid an average of 51 million won, SK hynix 73 million won, and Hyundai Motor 45 million won.
The trend of high salaries extends beyond banking into financial holding companies, which reported even more substantial earnings. Employees at financial holding companies earned an average of 89.25 million won over the first half of the year. Woori Financial Group led with an average of 97 million won, followed by Hana Financial Group at 94 million won, Shinhan Financial Group at 86 million won, and KB Financial Group at 80 million won.
Foreign banks in South Korea, such as Citibank Korea and Standard Chartered Bank Korea, also surpassed the major local banks in terms of salaries, with averages of 70 million won and 64 million won, respectively. Online-only Kakao Bank offered slightly more, averaging 62 million won.
In the broader financial industry, Dunamu, operator of Korea’s largest cryptocurrency exchange Upbit, reported the highest average salary of 133.73 million won for the first half of the year—more than double the 59.44 million won from the same period last year. Dunamu’s Chairman, Song Chi-hyung, received an astonishing 4.74 billion won in total compensation, including a base salary of 1.45 billion won and bonuses totaling 3.29 billion won.
Within the banking sector, Citibank Korea CEO Yoo Myung-soon received the highest total compensation at 2.08 billion won. Hana Financial Group Chairman Ham Young-joo followed with 1.82 billion won, and KB Kookmin Bank CEO Lee Jae-keun earned 1.49 billion won.
However, a pronounced gender wage gap persists across the industry. Female employees at financial holding companies earn about 32 percent less—around 31 million won—than their male counterparts, with Woori Financial Group showing the largest disparity at nearly 70 percent. At the four major banks, the gender wage gap averages around 30 percent, with Shinhan Bank exhibiting the most significant difference at 16.25 million won.
This shift in compensation dynamics underscores the growing influence and profitability of South Korea’s banking sector, highlighting a shift where financial institutions lead in employee compensation, surpassing even the country’s most prominent corporations.
