▶주메뉴 바로가기

▶본문 바로가기

THE INVESTOR
August 23, 2019
Big Reunion

Automobiles

SsangYong Motor mulls belt-tightening measures amid slump

  • PUBLISHED :August 06, 2019 - 11:00
  • UPDATED :August 06, 2019 - 11:00
  • 폰트작게
  • 폰트크게
  • facebook
  • twitter
  • sms
  • print


SsangYong Motor said on Aug. 6 it is considering some belt-tightening measures due to increased losses.

In a letter sent to employees last week, SsangYong Motor President and CEO Yea Byung-tae said the company will begin discussing a set of cost-cutting measures, including reducing the number of executives by up to 20 percent, according to a company spokesman. 


The measures under review are aimed at “preemptively” responding to rising costs and worsening profitability, the CEO said in the message.

In the January-June period, SsangYong Motor’s net losses almost doubled to 77.6 billion won ($64 million) from 39.6 billion won a year earlier.

Lower demand for its models and higher marketing costs in a tougher competition with rivals ate into the first-half bottom line. The company sells SUVs only, and its lineup is composed of the flagship G4 Rexton, Tivoli, Korando C and Korando Turismo. 

Last week, SsangYong Motor and its union agreed on a wage deal for a 10th consecutive year without staging a strike.  

By Ram Garikipati and newswires (ram@heraldcorp.com)

  • facebook
  • twitter
  • sms
  • print

EDITOR'S PICKS