Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Asia Forum -- Ignore unavailable to you. Want to Upgrade?

To: Thomas Haegin who wrote (2073)	2/12/1998 8:42:00 AM
From: Ramsey Su	Read Replies (1) \| Respond to of 9980

Thomas, slight off topic I know this is the Asia Forum but so far, it seems to be Europe that is going strong. So far, it has bailed out a lot of companies which may otherwise have reported very bad numbers last qtr. Could you give us your insight on why Europe is gathering strength and is it sustainable? Ramsey

To: Thomas Haegin who wrote (2073)	2/12/1998 11:38:00 AM
From: Thomas Haegin	Read Replies (2) \| Respond to of 9980

FYI repost S.Korea labour strife heats up, markets fall Reuters Story - February 12, 1998 05:42 (Adds Hyundai firms going on strike, updates markets) ÿÿÿ By Yoo Choon-sik ÿÿÿ SEOUL, Feb 12 (Reuters) - Tensions heated up on Thursday in South Korea after a labour umbrella group said it would go ahead with a strike on Friday, and financial markets dived on fears that the labour strife could ignite a fresh financial crisis. ÿÿÿ Unions from two major heavy-industrial units in the Hyundai Group [HYGR.CN], the country's largest conglomerate, ignored a warning from the state prosecutor's office and confirmed they would down tools from Friday afternoon. ÿÿÿ Union officials at carmaker Hyundai Motor Coÿ and container maker Hyundai Precision and Industry Co said their combined 40,000 members would walk out. ÿÿÿ "We will go on strike from 1.00 p.m. (0400 GMT) tomorrow according to the KCTU's (Korean Confederation of Trade Unions) decision," Park You-ki, senior official of Hyundai Motor's union, said from the southeastern city of Ulsan. ÿÿÿ Earlier the Prosecutor-General's Office said in a statement the strike was illegal and warned that those participating in strikes would face severe punishment. ÿÿÿ The statement said the strike was illegal because it was not related to matters that could be settled by employers but to legislation currently being reviewed by the parliament. ÿÿÿ The 550,000-strong KCTU said in a statement that about 100,000 of its members planned to walk out on Friday at 67 work sites nationwide, including the two Hyundai firms. ÿÿÿ But a Labour Ministry official said less than 10,000 workers were expected to actually down tools, based on information it had collected by Thursday afternoon. ÿÿÿ Late on Thursday KCTU leaders were discussing detailed action plans to be taken on Friday, which a senior KCTU official described as a "very painful" debate. ÿÿÿ "Our leaders were continuing a very painful discussion over the planned strike," the senior KCTU official, Chung Sung-hee, told reporters during a short recess of the discussion. ÿÿÿ But he did not make it clear whether issues under discussion included cancelling or delaying the planned strike. ÿÿÿ Political analysts said the strike has little popular support at a time the country is trying to clamber out of economic crisis. ÿÿÿ "It's suicide for labour because not many people are going to follow the call for a general strike. So it won't look like much of a general strike," said Korea University political science professor Kim Byung-kook. ÿÿÿ Financial markets tumbled -- before rebounding -- on fears that the desperately awaited recovery of the economy from a debt crisis would be delayed by industrial action. ÿÿÿ Stocks fell more than four percent at one point, with the composite index tumbling below the psychologically important 500-point barrier to hit 497.27. It ended down 1.47 percent, or 7.65 points, at 512.49. ÿÿÿ "Investors are more concerned that strikes will hurt our credibility with foreigners, making rollovers of debt difficult, rather than the strikes themselves," said Seoul Securities broker Kim Young-bum. ÿÿÿ Despite a relatively abundant supply of dollars, the won currency closed weaker against the U.S. unit as the labour issue depressed overall trading sentiment. ÿÿÿ The won closed trading at 1,625.0 against Wednesday's close of 1,600.0, after briefly hitting a low of 1,640.0. ÿÿÿ The KCTU wants a renegotiation of an agreement reached last week between labour, business, and government representatives -- including KCTU leaders -- to revise laws making layoffs easier and accelerating reforms of Korea's business conglomerates. ÿÿÿ The KCTU insisted the agreement called for too much sacrifice from workers while allowing chaebol to give up too little in their restructuring. ÿÿÿ The agreement was a crucial element of South Korea's economic reforms mandated under the International Monetary Fund's record $58.35 billion rescue package agreed in December. ÿÿÿ Economists have said much slower economic growth, tighter liquidity controls and another slew of bankruptcies are expected to throw more than a million people out of work this year. ----------End------------