South Korean Prime Minister: Samsung Semiconductor Plant Shutdown for One Day Could Incur Losses of Up to 1 Trillion Won

Odaily Planet Daily News Samsung Electronics and its South Korean labor union are set to resume wage negotiations next Monday with the participation of government mediators. This move could alleviate market concerns over the potentially disruptive strikes at the tech giant. "A one-day shutdown of just the Samsung Electronics semiconductor plant is expected to cause direct losses of up to 1 trillion won (approximately $668 million)," South Korean Prime Minister Kim Min-seok stated on Sunday after an emergency meeting with ministers. "What is more worrying is that even a brief halt in the semiconductor production line could take several months to resume production." Kim added that if materials must be scrapped due to the strike, market concerns suggest the economic losses could potentially expand to as much as 100 trillion won. According to regulations, if the South Korean government determines that a labor dispute may harm the economy or public welfare, the Minister of Employment and Labor can issue an emergency arbitration order. This order would immediately ban industrial action for 30 days, while the National Labor Relations Commission conducts mediation and arbitration. This measure has rarely been invoked. (Jinshi)