SK Hynix, a global powerhouse in the memory chip industry, has revealed that it will be distributing performance bonuses to its employees, with the average amount per person exceeding 136 million won (roughly equivalent to 640,000 yuan). This marks an all-time high for the company in terms of bonus payouts.

The company has introduced a 'Shareholder Participation Plan.' Under this scheme, employees have the opportunity to receive up to 50% of their year-end bonuses in the form of company stocks. After holding onto these shares for a full year, employees become eligible for an extra 15% cash incentive.

It's worth noting that this plan was not put into action in 2024. Instead, only consolation payments were made to employees. However, the plan was brought back last year, and employees were given the option to buy company shares.

With new guidelines slated to come into effect at the end of this month, it is anticipated that employee bonuses will experience a substantial increase. The calculation for year-end bonuses will be based on 10% of the operating profit from the previous year. A portion of the bonus will be deferred, and employees will earn interest on this deferred amount.

Nevertheless, there is an element of uncertainty surrounding the 'Shareholder Participation Plan.' If the 'Third Amendment to the Company Law' is approved either this month or in March, the stock ownership plan may undergo adjustments or even be cancelled.

SK Hynix has been riding the wave of the artificial intelligence boom. As a result, its stock price has skyrocketed by 275% in 2025. Moreover, the company's chip production capacity for 2026 is already fully booked.