Ruling party leader urges conglomerates to expand investment

SEOUL, Feb. 19 (Yonhap) -- The head of the ruling Grand National Party (GNP) on
Thursday called for local businesses not to shy away from boosting corporate
investments despite forecasts of an economic contraction this year.
"We're aware that some 100 trillion won (US$67.8 billion) worth of cash assets
are stored in your deposits. Please open your safes right away," GNP Chairman
Park Hee-tae said at a press conference.
The remark comes on the heels of a recent investment poll by the Korea Chamber of
Commerce and Industry, which showed that capital spending by domestic
manufacturers is expected to drop 30 percent this year from 2008. The government
recently said that the economy is expected to contract 2 percent this year,
recording the first minus growth in a decade.
Park urged companies in Asia's fourth-largest economy not to wait passively for
the government to mold policies, but to independently carry out their initial
plans to invest in facilities, research and development, and employment.
The chairman also demanded labor unions refrain from strikes this year, promising
to provide a platform in which government, corporate management and workers can
reach a consensus to wade safely through the economic crisis.
Park also hinted that large corporations should actively embrace the government's
so-called "employee job sharing" campaign to address the rising unemployment
problem.
"Gestures of concession and consideration among workers at large corporations are
desperately needed to help those fearful of restructuring," he said.
The government said last week that it plans to offer tax breaks to companies that
adopt job sharing measures by cutting the salaries of existing workers to employ
more people.
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