이 누리집은 대한민국 공식 전자정부 누리집입니다.
Biz News Korea(Eng)
Four out of 10 Korean SMEs to reduce hiring next year
- Collected
- 2017.12.18
- Distributed
- 2017.12.19
- Source
- Go Direct
According to a survey done by Korea Employment Federation (KEF) of 273 companies on Sunday, 42.7 percent of firms with 300 employees or fewer answered that the rise in wages might force them to reduce hiring next year. The country’s legal minimum wage will rise 16.4 percent to 7,530 won ($6.92) starting 2018. To tackle the burden of increased labor cost, 21.4 percent said they would raise prices of their products and services and 19.5 percent would expand automation.
About 45.7 percent answered that they would focus on cost-saving next year. More than half - 54.6 percent - plans to cut investment sharply or slightly next year, and only 20.5 percent will increase investment. About 51.1 percent sees the nation’s economy is currently under a long-term recession, and 38.9 percent predicts the economy would start to pick up after 2020.
About 67.9 percent said their core business would serve as their main source of profits for only less than five years. Most of the SMEs said they have not prepared for the era of the fourth industrial revolution, giving themselves a score of four out of 10. Large and small companies alike said that deregulation is most urgently needed to help them adequately prepare for the fourth industrial revolution.
By Moon Ji-woong and Choi Mira
[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]