South Korean Prime Minister: Samsung semiconductor factory shutdown could result in daily losses of up to 1 trillion KRW

Odaily reported that Samsung Electronics and its Korean union will resume wage negotiations on Monday with the participation of government mediators, a move that may ease market concerns about a potentially disruptive strike at the tech giant. "A one-day shutdown of Samsung Electronics' semiconductor factory alone is expected to cause direct losses of up to 1 trillion KRW (approximately $668 million)," South Korean Prime Minister Kim Min-seok said on Sunday after an emergency meeting with ministers. "Even more concerning is that a brief halt in semiconductor production lines could take months to restore to full operation." Kim added that if materials must be scrapped due to the strike, market concerns suggest economic losses could expand to as much as 100 trillion KRW. According to regulations, if the South Korean government determines that a labor dispute may harm the economy or public livelihood, the Minister of Labor can issue an emergency arbitration order. This order immediately suspends industrial action for 30 days, while the National Labor Relations Commission conducts mediation and arbitration. This measure is rarely used. (Jinshi)