Multinational pharma's ave. salaries amount to KRW 100m

Audit reports filed by 30 Korean subsidiaries

The average salary for 18 companies, including Boehringer·BMS·GSK·AbbVie, surpassed KRW 100 million

Pfizer paid KRW 5.3 billion in severance pay…Kyowa Kirin's retirement payment was KRW 26.1 billion

Last year, the average annual salary for employees at the Korean subsidiaries of major multinational pharmaceutical companies surpassed KRW 100 million, with Sanofi‑Aventis Korea and Gilead Sciences Korea close to KRW 150 million.

 

According to an analysis of the 2023 audit reports filed by 30 foreign pharma subsidiaries on the Financial Supervisory Service (FSS)’s web board on April 21, the average basic salary per employee amounted to KRW 105.2 million, and 18 of those companies reported average pay above KRW 100 million.

 

The average salary per individual reflect only base salaries as disclosed in the audit reports, excluding fringe benefits, bonuses, performance incentives, and retirement payments are excluded, so actual take‑home pay may differ slightly.

 

2023 Annual Salaries for Employees at the Korean Subsidiaries of Major Multinational Pharmaceutical Companies

Sanofi‑Aventis Korea ranked the highest, with an average annual salary of KRW 147.31 million.

 

Last year, its total salary expense rose 61.8% to KRW 53.62 billion from KRW 33.13 billion in 2022, even though its headcount fell by six to 370 employees.

 

Performance‑related pay also climbed markedly, with the company disbursing KRW 3.29 billion in incentives, up 30.9% from the prior year.

 

Gilead Sciences Korea ranked second, with its average per individual salary rising from KRW 128.60 million in 2023 to KRW 141.32 million last year.

 

Its total payroll expense increased by 14.5%, from KRW 11.61 billion in 2023 to KRW 13.28 billion.

 

Boehringer Ingelheim Korea also saw substantial growth in compensation.

 

With headcount unchanged at 164 employees, its average salary climbed by 9.4% to KRW 139.80 million, and total salary outlays rose by KRW 775.35 million.

 

Pfizer Korea’s average salary jumped to KRW 126.24 million, up roughly KRW 25 million from KRW 99.95 million the year before.

 

The primary driver was a global early‑retirement program (ERP).

 

Pfizer implemented a global restructuring initiative throughout 2023 and into last year in response to a sharp decline in vaccine and therapeutic revenues following the transition to endemic COVID‑19.

 

This strategic decision also led to workforce reductions at its Korean subsidiary.

 

Pfizer Korea's ERP led to a headcount reduction from 454 in 2023 to 404 last year; severance pay paid under that program totaled KRW 5.335 billion, a 279.9% increase over 2023.

 

At Kyowa Kirin Korea, severance costs outstripped total salaries.

 

While the company paid out KRW 8 billion in salaries, it recorded KRW 26 billion in retirement benefits.

 

Kyowa Kirin implemented ERP last year.

 

Kyowa Kirin's Asia‑Pacific restructuring last year included selling its China unit to Hong Kong’s Winhealth Pharma Group and transferring domestic and key Asia promotional and distribution operations to DKSH.

 

Kyowa Kirin sells a portfolio of novel therapies, such as the erythropoiesis‑stimulating agent 'Regpara,' anemia treatment 'Nesp,' and neutropenia therapy 'Neulasta,' and reported stable sales of KRW 92.4 billion in 2022 and KRW 98.3 billion last year.

 

The company says it has restructured to focus on its new pipeline in antibody and cell & gene therapies.

 

Other multinational subsidiaries paying average salaries above KRW 100 million include Viatris Korea, Ipsen Korea, UCB Korea, GSK, Janssen Korea, Ferring Korea, AbbVie Korea, BMS Korea, LundBeck Korea, Abbott Korea, Galderma Korea, and AstraZeneca Korea.

 

Some firms may have higher take‑home pay than reported salary.

 

For example, MSD Korea, which reported an average salary of KRW 67.7 million, logs portions of its R&D and other staff compensation under operational research and development expenses or cost of goods sold rather than base payroll.

 

Otsuka Korea reported KRW 24.7 billion in selling and administrative payroll expenses, contrasting with KRW 47.0 billion.

 

The company recognizes some units' salaries as employee‑related costs because certain departmental salaries are classified under production or R&D.