December 22, 2024

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Coupang's fulfillment center in Daegu (Coupang)

South Korean e-commerce giant Coupang announced Tuesday that it will recruit more than 10,000 new personnel as part of its initiative to expand logistics facilities across the nation.

This decision follows the company's March announcement of its plan to invest over 3 trillion won ($2.23 billion) in expanding its logistics operations, primarily focused on fulfillment centers, to enhance its one-day delivery service nationwide.

The new fulfillment centers in Daejeon and Gwangju, expected to begin operations next month, will together employ over 3,300 workers. The Cheonan fulfillment center, which commenced operations last month, is currently recruiting 500 workers.

In addition, the company plans to start construction on new fulfillment centers in Gimcheon and Jecheon in October and the first half of next year, respectively. Coupang is also constructing new fulfillment centers in Busan and Icheon, with two additional sub-hubs being prepared for operation. Each of these facilities is expected to recruit between 400 and 3,000 new personnel, bringing the total employment from these expansions to over 10,000.

Coupang said it expects this expansion to bring total employment to over 80,000 across the company and its affiliates, including Coupang Fulfillment Service and Coupang Logistics Service. With the new hires, in particular, around 65,000 of these jobs are expected to be located outside Seoul.

"Coupang hopes its investment in regional logistics networks will attract young people who had previously moved to Seoul for employment, as well as increase female employment, thereby contributing to the revitalization of local economies," a Coupang official said.

As of the first half of last year, more than 20,000 of Coupang’s employees were young adults aged 19 to 34, and approximately 48 percent of workers in logistics and delivery roles were women.

Coupang’s direct employment contracts for logistics, office work and delivery operate under a five-day workweek and a 52-hour work system. The company offers various welfare benefits, including insurance, annual leave and family care leave. In addition, Coupang has been expanding its welfare programs, including consultations for pregnant employees, a return-to-work program after parental leave, and a health management program.

The company added that it aims to expand its free Rocket Delivery service by 2027 to 260 cities, counties and districts nationwide, including 89 areas designated by the government as population-declining areas.

By Hwang Joo-young (flylikekite@heraldcorp.com)