LG Group on Wednesday unveiled a set of new measures to boost the sluggish economy amid unfavorable conditions such as the Middle East respiratory syndrome outbreak, a prolonged drought and the latest Greek financial crisis.
The measures come as the nation’s fourth-largest conglomerate joins other big business groups, including Samsung and Hyundai Motor, in spurring the dull domestic consumption.
As part of the efforts, LG said it plans to purchase gift cards worth 7 billion won ($6.2 million) for its employees and suppliers to use at traditional markets during the summer holiday season.
The group has also set up a 60 billion won loan program for small and mid-sized suppliers that struggle to borrow money from financial organizations due to the high interest rates.
Its affiliates also plan to carry out separate activities to help the local community.
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| LG Group chairman Koo Bon-moo |
LG Chem, the group’s chemical and battery business unit, has purchased rice from local farming houses to be consumed at its plant in Yeosu, South Jeolla Province, while its Ochang plant in North Chungcheong Province will support diverse community events for the local economy.
LG Display, the nation’s leading display-maker, also held a farm-to-table event at its Paju, Gyeonggi Province, plant to help farming houses, and it plans to encourage employees to purchase local products.
LG will support volunteer activities at its workplaces nationwide.
Other conglomerates also announced their own economy-boost measures over the week.
Samsung Group, the nation’s largest conglomerate, plans to purchase gift cards worth 30 billion won to be used at traditional markets, while suggesting employees at its Chinese operations help Korea’s sluggish tourism industry.
Hyundai Motor announced a program that delays payment on new car purchases for small shop owners by up to three months. The auto giant also plans to hold international events, such as dealers’ conventions, in Korea this year.
By Lee Ji-yoon (jylee@heraldcorp.com)
