Samsung, Hyundai not to 'artificially' lay off workers: officials

SEOUL, Dec. 10 (Yonhap) -- South Korea's two largest conglomerates said Wednesday
they will not engage in artificial restructuring efforts, despite the slowdown in
the global economy.
A senior executive at Samsung said any movements of workers will be those carried
out on a regular basis.
"The group as a whole is not planning to adjust its workforce," said the source,
who declined to be identified.
He added that the number of executives will remain similar to the present level
and stressed that opportunities coexist with challenges, hinting that Samsung
will take an aggressive posture to expand its global market share in
semiconductors, displays and mobile phones.
The stance contrasts with announcements by rivals Sony and Toshiba, which said
they will lay off large numbers of workers to cope with the liquidity shortage,
the steep drop in consumption and declining business investment.
Hyundai Motor Co. also said it will not fire workers to overcome its current
difficulties.
"Any layoffs will be of the normal variety involving those that have not
performed well and those reaching retirement age," an insider of South Korea's
largest carmaker said.
The company had to cut back on production and halted overtime operations at its
assembly lines as sales have dried up in both the domestic and overseas markets.
The announcement by the two conglomerates follows similar stances by the LG and
SK groups, which have said they do not plan any massive restructuring.
The decision by the country's four largest conglomerates is an indication that
local companies are vying to use the current economic crisis as a springboard to
further expand their businesses.
Experts have said that while South Korea is suffering, rivals are doing no
better, and that companies that can stay afloat and the make right management
decisions may be able to grab a greater share of the market down the road.
yonngong@yna.co.kr
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