Samsung Electronics, 5limits its in-house housing loans of billion won to homes with a national standard size (85㎡) or less
Samsung Electronics has decided to limit eligibility for its in-house housing loan program for employees without homes (up to 5billion won) to homes with a national standard size in the capital region and metropolitan cities (exclusive 85㎡) or less. The company said it would announce detailed conditions and the implementation timing later, reflecting concerns that the policy could stimulate home prices.
Get free 삼성전자 email updates.
Bullstory sends one daily email when new analysis or important company news is available.
Samsung Electronics has decided to limit eligibility for its in-house housing loans for employees without homes to homes with a national standard size (exclusive 85㎡) or less. The maximum loan amount is 5billion won.
The company said the measure would apply based on standards for the capital region and metropolitan cities. It explained that the eligible employees are those without homes and that the scope of support would be narrowed to mainly small- and medium-sized homes.
Samsung Electronics said it finalized this policy on 7 month 5 day. The company plans to provide detailed requirements and the application process in a subsequent internal announcement.
This decision reportedly reflects concerns that low-interest internal company loans could drive up housing prices in the Seoul metropolitan area. The company said it adjusted the scope of support in consideration of the related concerns.
Details related to the internal loan program are expected to include verification of the exclusive floor area of eligible homes and priority criteria. Separate guidance will reportedly be provided to existing loan applicants and employees currently reviewing an application.
The company said it would announce the specific implementation timing and execution method at a later date. This measure constitutes a case of redefining the scope of housing support under corporate welfare.