The South Korean government today threatened emergency action to end a prolonged auto strike, saying it risks undermining the economy and the country’s international credit ratings. Workers at Hyundai Motor Co, the nation’s number one car maker, have been staging sporadic strikes since June 20, costing the company 99,215 vehicles worth $1.1 billion in lost production, with another $630 million in missed shipments. The country’s second-largest producer and Hyundai’s affiliate, Kia Motors Corp, has also been hit by partial strikes over the past week, a spokesman for Hyundai Motor said. “The government has decided to consider invoking its emergency arbitration rights as the labour disputes must not be left to continue any longer,” said a senior official at the office of government policy coordination.
