Photo : YONHAP News
An 18-day strike at Samsung Electronics could shave up to half a percentage point off the nation’s economic growth this year, according to an analysis by the central bank.
The Bank of Korea(BOK) recently presented its analysis of the situation in a private report to relevant ministries, including the Ministry of Finance and Economy.
The report estimated that semiconductor production disruptions could cause losses of around 30 trillion won, or roughly 19-point-nine billion U.S. dollars, considering that it takes about three weeks to recover after memory chip lines are suspended.
The company’s largest labor union has planned a general strike involving about 50-thousand workers that is set to begin Thursday and run until June 7.
In February, the BOK projected two percent growth for this year, and it was expected to raise its forecast in its revised outlook set to be released next week.