Labor Minister: “Semiconductors are a public good” … Samsung crisis prompts debate on redistribution
Labor Minister Kim Young-hoon 5 month 28 day, designated semiconductors as a “public good” and said discussions would begin on the social distribution of excess profits at large corporations. The government said it would not forcibly take away profits and proposed social dialogue as a solution, while a dialogue body for the shipbuilding industry 6 is scheduled to launch during the month.
Minister of Employment and Labor Kim Young-hoon 5 month 28 day, describing semiconductors as a “public good,” said that the issue of distributing excess profits at large corporations would be discussed by society. His remarks came amid escalating labor-management tensions at Samsung Electronics, which brought the situation to the brink of a strike. The minister stressed that the government would not forcibly take profits from large corporations and distribute them.
The minister repeatedly presented “social dialogue” as the solution. He said a solution would be found through dialogue involving businesses, labor and the government. He made no mention of specific systems or legislation.
The People Power Party criticized the remarks as dangerous intervention on the same day. The opposition was reported to have expressed concern about an expanded role for the government. Reports said political reactions were immediately divided.
Minister Kim added that, to strengthen the competitiveness of the shipbuilding industry, 6the government would launch a tripartite social dialogue body during the month. The target launch timing is 6during the month, and specific details of its operation would be announced later. The minister said the body would discuss employment and contract issues in the shipbuilding industry.
The government’s proposal to discuss distribution appears to be leading to discussions of public value, centered on semiconductors and shipbuilding. The minister repeatedly presented social dialogue as a solution while emphasizing that this did not amount to direct government intervention. As of now, details of any agreement and whether it would be legislated have not been disclosed.
Reactions from political circles and industry have been divided following the policy remarks. The scope of the discussions is likely to expand as labor’s demands and companies’ responses are added. For the time being, the specific framework for social dialogue and the launch schedule are expected to be key points to watch.