South Korea Seeks to Prevent Strike at Samsung

South Korea's government states that it will use all possible mechanisms to prevent a potential strike at Samsung Electronics. The government believes that halting the company's operations could have a significant impact on the country's economy.

According to South Korea's Prime Minister, even a single day of work stoppage at the company's semiconductor plant could result in hundreds of millions of dollars in losses. He noted that an even greater risk is that temporary shutdowns of production lines could delay manufacturing recovery by months.

The government does not rule out using emergency arbitration. This mechanism allows the Minister of Labor to temporarily halt a strike if the dispute is considered a serious threat to the economy or everyday life. Such a decision is rarely used in South Korea.

The trade union states that despite pressure, it does not intend to change its position and will not agree to a settlement if the company's offer is insufficient.

Samsung plays one of the most significant roles in South Korea's economy. The company accounts for almost 23 percent of the country's exports and controls approximately a quarter of the local stock market. Samsung employs more than 120,000 people and collaborates with approximately 1,700 suppliers.

Source: Investing.com