"Struggling with high prices? It's different here at Homeplus~ Homeplus~"
This is the jingle of Homeplus, a melody familiar to every South Korean. Once the nation's second-largest hypermarket chain, boasting 142 stores nationwide and 8 trillion won in annual revenue, Homeplus now stands at a crossroads of survival. In the refrigerated section where eggs should be, frying pans are displayed instead, and the frozen food aisle, once stocked with dumplings, is now filled only with ice cups. How did this once-thriving national retailer end up in such a state? In March of last year, Homeplus abruptly filed for corporate rehabilitation. One year later, the number of stores has shrunk from 126 to 67, and the workforce has been cut from 18,000 to approximately 9,000. Many have lost their jobs, and those who remain are living in constant anxiety. Our production team met with four mothers who have dedicated years to Homeplus to hear their stories. Lee Hye-young (pseudonym), who has worked at a store in Gyeonggi Province for 30 years, described Homeplus as a pillar that protected her family. When her husband's business failed and she had to become the breadwinner, this workplace allowed her to support her family. She said the current situation feels incredibly hollow and heartbreaking. For Jung Seung-sook, who worked at a store in Busan for 15 years, Homeplus was more than just a job; it was the foundation of a life that allowed her to raise her son on her own. "The salary wasn't high, but I was happy just to be able to work," she said, pleading for someone to save Homeplus. It is not just the employees who are in crisis. The number of people connected to Homeplus, including suppliers and self-employed individuals operating shops within the stores, reaches 100,000. In particular, the approximately 8,000 small business owners operating inside Homeplus locations across the country are facing an immediate struggle for survival. Those who continue to operate within stores that have effectively shut down expressed their outrage, noting that they are still required to pay rent in full even as their sales have plummeted.
Experts point out that the problems began a decade ago when the private equity firm MBK Partners acquired Homeplus, warning that this situation is not unique to Homeplus and could easily happen to other companies in the future. What exactly has happened, and what does the future hold for Homeplus?
This week, SBS News Story examines the reality of the Homeplus crisis, which stands at a turning point between survival and collapse, and listens to the desperate voices of the "mother workers" who have been pushed to the edge after dedicating their lives to the company.