What's happening in Korea_Jan. 31

- The government is mulling over granting special pardons to ‘economic’ prisoners in an attempt to demonstrate its willingness to revive the sagging economy. About 59 prisoners including former Daewoo chairman Kim Woo-joong and former Doosan chairman Park Yong-sung are on the list.

- The Ministry of Government Administration and Home Affairs is working on a law revision under which the government can automatically intervene in illegal labor strikes at ‘national infrastructure facilities’ such as railway, airports, hospitals, and power houses.

- POSCO said yesterday a controlling shareholder of the company changed from SK Telecom with 2.85 per cent to National Pension Service with 2.86 per cent.

- According to data from the national statistical office, December industrial output growth rate hit a record low for the last two years and two months and the output index stood at 146.9, only up by a disappointing 2.3 per cent year-on-year. The figures indicate an expected sluggish economic performance in the first half of this year.

- Government Administration Minister Park Myung-jae and Health Minister Yoo Si-min are reported to have verbal arguments yesterday morning over civil servant pension system reform. The Health Ministry has been pushing ahead with a strong reform while the Government Administration Ministry allegedly balks at such a sweeping reform.

- Japanese Yomiuri paper reported today a person believed to be Kim Jong-nam appeared in Macao yesterday. The sources quoted by the paper said he might visit Macao in relation to the BDA issues.

- Service account deficit hit a record high last year largely due to a surge in overseas travel, up $5.1 bn from a year ago to $18.7 bn.

- Korea’s credit card use is found to be the highest among 19 countries in the Asia Pacific region in 2005 with $181.2 bn, followed by Japan with $151.3 bn and Australia with $131.5 bn.

- The survey by Korea Chamber of Commerce and Industry shows the companies cite more flexible labor relations as the problem that needs improving the most in order to improve business performance, followed by the establishment of a measure to fend off hostile M&A attempts.

- Eighty per cent of overseas funds from Korea are flown into emerging markets, which raise concerns for more cautious investment.

Korea Headlines_Jan. 30

- CEO of Samsung Semiconductor Hwang Chang-kyu played down a Japanese emergence in the semiconductor market, saying “there is nothing to worry about Japan’s chasing after our semiconductor business.” His remark came amid Japan’s semiconductors’ announcement on the aggressive plan to increase investment.

- In the World Economic Forum, Korea was conspicuously under-represented with only 23 Korean attendees.

- UPI press reported the US is considering unfreezing $13m among $24m in the North Korea’s BDA accounts.

- LG Telecom announced this morning a total sales of W2.9 tr, operating profits of W416 bn , and net profits of W238 bn in 2006, up 10.4 per cent, 15.7 per cent and down 4.1 per cent respectively from a year before.

- Kang Shin-ho, Chairman of the Federation of Korean Industries, accepted the offer to assume the position for the third consecutive term.

- Park Jin-young, the entertainment guru who produces Rain, will have a lecture at the Kennedy School of Government on Hallyu (Korea Wave) on February 16. The school said as Asia’s best song writer, producer, and CEO of a recording company, it invites him to share his views on Hallyu’s advance into the US entertainment market.

- In an email interview with the paper, Lone Star CEO John Grayken denied the rumor of negotiations with the ICBC (Industrial & Commercial Bank of China), by saying the company hasn’t offered to sell its KEB shares to any other company in and outside Korea. He said the company will “carefully coordinate” with the Korean government regarding the KEB sale process.

- The study on 214 North Korean defectors aged more than 20 by the Korean Institute of Criminology shows the ratio of falling victim to crimes among them is five times the average criminal cases reported in Korea, and 20 per cent have experience of being the victim of fraud mostly by other defectors.

- Financial Supervisory Service said it caught during its audit Shinhan Bank giving out loans worth tens of billion won to Japan’s APLO Financial Group, which lends money at usury

Four things Samsung Men shouldn't do

“If you have extramarital affair, end the relationship.” This is what recently-promoted directors at Samsung are told by instructors when they are under training programs.

The most forbidden thing for Samsung directors is having an affair because Samsung thinks ‘unhealthy relationship’ to result in unnecessary spending which in turn might lead to misappropriation of company money and unfair trades with other companies it has business with. There is a popular saying within the company that no extramarital affairs ensure a three-year director position. Of course, the company doesn’t block in-house dating between single employees.

Gambling is also strictly banned because gambling for just fun would be OK but beyond that could disrupt family as well as company lives and in the worst case, embezzlement can happen.

Restriction on stock investment is aimed at preventing productivity loss and interest intervention. The company is worried that if employees are too indulged in online stock investment, they are greatly distracted. But the company doesn’t bother much about long-term investment.

A senior Samsung employee said “excessive gambling and playing the market can easily lead to unhealthy relations with other companies we do business with, which in turn can incur critical damage to Samsung. That’s why we strictly ban such things”

At Samsung Electronics, only employees higher than manager-level can play golf because it is not good for employees who can’t afford the ‘expensive spare-time sports’ to be addicted to playing it. Samsung executives can freely enjoy the sports since it is regarded as a necessity for doing business in Korea.

The senior employee said “over 90 per cent of cases of ‘problematic employees’ who are caught by in-house audit fall into the categories of either extramarital affairs, stock, gambling, or golf.” “If caught, the person is subject to personnel reshuffle.”

What's up Korea?_Jan. 29

-Senior employees of Mittal, the world’s number one steelmaker, will visit Korea on February 1 to meet Lee Ku-taek, CEO of POSCO. Mittal is said to be very interested in POSCO and believed to have said POSCO stocks are undervalued and thus is a very attractive target of M&A.

- According to Korea Exchange, KOSPI slid by 4.4 per cent in the year to January 26, ranking the lowest among 44 WFE (World Federation of Exchanges) member countries, despite stock experts’ rosy expectations for a bullish stock market.

- A mobile phone with AM OLED (Active-Matrix Organic Light Emitting Diode) will be launched in the Japanese market by Samsung SDI in association with a Japanese mobile phone maker as early as the end of February. The technology allows five times brighter screen and more natural color than LCD provides.

- Amid the increasing number of cases of a Korean company going insolvent in China, the government is working on a master plan to help medium-sized companies make successful inroads into the Chinese market.

- Lee Byung-wan, the presidential secretary, and Park Jae-wan of GNP will have a working level talks on the livelihood issues today on the condition that they would not talk about the constitutional revision.

- Four taboos for Samsung directors, if they want to be further promoted, are extramarital affairs, gambling, short-term stock investment, and golf.

- Medical law revisions, scheduled to be announced today by the Health Ministry, are postponed due to fierce opposition from Korean Medical Association. The delayed announcement came after Yoo Si-min met this morning KMA president Jang Dong-ik who is said to have asked the minister more time to take care of a few unresolved issues within the association.

- A government source said North Korea and the US have exchanged questions regarding North Korea’s BDA bank accounts in the run up to the working-level talks on the BDA issues slated to be held on January 30.

- Daily NK reported that there are infectious diseases sweeping through North Korea due to dirty water and poor sanitary conditions. North Korea aid civic groups shipped the regime $5 m worth of medicine on January 10. The North authorities denied the report of infectious diseases.

Seoul, today_Jan. 26

- The Federation of Korean Industries re-elected Kang Shin-ho as its chairman. But Mr. Kang hasn’t revealed whether he would accept the offer, saying he would notify next week.

- Despite President Roh’s urge not to break up the Uri Party, disgruntled party members did not back down from their stance to form a new party.

- Real estate public fund worth W50 bn will be launched later this year, which will be managed by the government and Korea Housing Corporation (Jugong) with the aim of providing 50,000 public houses per year. The Finance Ministry and Construction Ministry will announce government measures including the scheme early next month.

- President Roh warned yesterday “if (housing prices) go up, stronger measures will be introduced.” “People are worried about real estate bubble burst, but there will be no hard landing in the property market,” he said.

- A strong local currency and serious labor disputes last year resulted in 0.5 per cent drop in sales, 10.8 per cent loss in operating profits, and 35 per cent slid in net profits, from a year before, at the country’s largest automaker Hyundai Motor.

- Samsung Electronics Vice President Lee Ki-tae hasn’t shown up to office since January 22, thus failing to attend important company meetings, which stokes speculation that he is rejecting to come to office in protest against the recent personnel reshuffle. The company rejects the claim, saying he is on sick leave.

- The government and the representatives from three major civil servant labor unions are said to have held their first meeting to discuss revamping the controversial civil servant pension fund.

- Japanese JiJi Press quoted a South Korean expert on the North as saying Kim Jong-il is not in Pyongyang and his close aides are having a fierce power struggle. One intelligence suggests a possibility of Kim Jong Il suffering from health problems or the military putting him under house arrest, the press said. It added the Seoul government doubts the authenticity of the intelligence.

- In the FKI meeting held yesterday, Lee Kun-hee, who has been serving as Samsung Group Chairman for the last two decades, told reporters “Though it is good that (Samsung) grew big, the next 20 years are more worrisome.” Asked when he will transfer his management control to his son, he said “(he should be) qualified for the role,” but didn’t deny his willingness to do so by saying “at least the foundation should be provided first.” On the question for the reason to make Lee Jae-yong take charge of CCO, he explained “it is meant to train him and let him have better understanding of customers, researchers, and company workers.”

Today's headlines_Jan. 25

- The Education Ministry is set to broaden the number of schools which are subject to the ‘teacher evaluation system’ from the current 67 to 500 within this year despite opposition from Korean Teachers & Educational Worker’s Union.

- Song Min-soon, the foreign affairs minister, talked to U.S. Secretary of State Condolezza Rice on the phone last night and agreed to cooperate to effectively freeze North Korea’s nuclear programs in the upcoming six party talks.

- Informants on irregularity related to the presidential election can receive as much as W500m from the National Election Commission.

- The least developed region in the country is Jellanamdo and among cities is Pusan, according to the ‘development index’ conducted by Korea Institute for Industrial Economics and Trade.

- Regarding the move by Uri party members to form a new party, President Roh said “what the Uri party needs right now is not me, but them (party members)…..if I am asked to leave the party, I will.”

- Finance minister Kwon O-kyu said the ministry is considering to increase public housings in the property market, and related measures will be announced in early February. Asked about a Hynix plant construction site, he said “after the law revision is over, it is up to the company to decide whether to build its plant in Icheon or another place.

- Goldman Sachs predicts Korea will be the second richest country by GDP in 2050, with GDP per capita swelling to $81,000 by that time, only after the US. It suggests changing BRICs to BRICKs, citing Korea’s robust economic growth trend.

- Speculation is rift that Hynix’s first-production line plant will be built in a third region, not widely suggested Icheon.

- Japanese Asahi newspaper reported today the North agreed to suspend running its 5000kw nuclear reactor and allow IAEA inspectors back into the country, but with strings attached.

- A total of 186,808 applicants have registered for the opening of 2,888 9-level civil servant position in the government test, making the competition ratio a whopping 64.7 to 1.

- Lee Myung-bak, one of the most competent presidential candidates, said yesterday he wanted to be the CEO of the country, not the most powerful man, and said he could easily reduce the national ‘rigid budget’ by W2 trillion despite the conventional wisdom that it is not an easy task.

- It is reported that North Korea imposed an outright ban on the use of foreign currency within the country from January 22, the measure understood as the regime’s effort to control foreign currency in the private hands in the face of financial constraints due to sanctions.

- Last year, 30.1 per cent of newly-hired employees fresh out of universities quitted their companies within one year, a research by JobKorea shows. The reasons for the early quitting provided by companies are ‘job requirements that are different from their expectations (29.7%),’ ‘lack of patience by employees (24.6%),’ ‘failure to adjust to the company structure (23.1%),’ and ‘low payment (9.4%).’

Today's headlines_Jan. 17

- In association with the Kim Heung-ju lobbying scandal, prosecutors are tracking down bank accounts records of 5-6 people including former prosecutors, a senior official at the BAI, an official at the Prime Minister’s office, and a politician.

- As early as the later half of the year, a taxi coupon will be introduced, which can be used like a gift certificate.

- In the cabinet meeting presided by President Roh yesterday, there was no discussion on the matter of Hyundai Motor’s unionized workers’ strike which is believed to deal a serious blow to the national economy.

- Samsung announced new personnel reshuffle yesterday including three new presidents and nine replacements at its affiliates.

- Goh Kun announced yesterday not to run for the next presidential election.

- Hyundai Motor’s management is said to have agreed with its union yesterday on the payment of the remaining year-end bonus on condition that workers do extra works to recover lost production due to recent strikes, but the two sides don’t see eye to eye on when the payment will be made and whether the company will withdraw its lawsuit against union.

- Amid controversy surrounding President’s criticism towards reporters yesterday, the meeting between President Roh and chief editors of major local presses will be held today as scheduled.

- The Seoul District Court criticized prosecutors in a roundabout way when delivering a verdict on Kim Jae-rok by saying “it is very shameful that Kim became known as a ‘malignant broker’ during the prosecutor’s investigation…..His personal rights had been severely trampled upon during the investigation even before he had a fair trial ”

- Nonghyup achieved a record net profit of W1.3 tr last year, for the first time in its history to pass the W1 tr mark, while Industrial Bank of Korea has also recently revealed that the bank’s last year net profit will be around W1 tr.

- A foreign fund with more than 25 per cent of local company share should pay tax on capital earnings from share sell-off, according to the 2007 revised new tax regulation.

- The BOK hired two men in their late 30s as entry-level employees among 38 new hiring, which bucks the usual Korean trend of employing people mostly just fresh out of university. The Bank had age limitation for employment but scrapped it three years ago.

- E-Mart decided to turn its contract workers into regular ones before July.

Today's headlines_Jan. 16

- A high court judge was injured after a disgruntled plaintiff, a former professor at SungKyunKwan University, shot a crossbow at him in an apparent move to show his discontent with the ruling against him. The shot left a 7-8mm wide wound on the left side of the judge, but internal organs were not harmed.

- US ambassadors to Korea, Japan, and China will meet in Seoul from January 28 for two days to talk about various issues in Northeast Asia.

- Samsung Group is to announce new presidents for some of its affiliates today. Five or six presidents in electronics, chemical, and service sectors are said to be replaced in the personnel changes.

- Hyundai Motor’s unions started its partial strike yesterday in the face of criticism from the public. The company filed a lawsuit against 21 union leaders for illegal strikes and work disruption.

- The government’s measures announced yesterday to cap the appreciation of the won might disrupt the exchange market in the long term.

- “The Labor Ministry is looking to make a manual to deal with illegal strikes, which will allow the government to automatically charge illegal strikers,” said Labor Minister Lee Sang-soo in an interview with Maeil Business Daily.

- Kim Jae-rok was sentenced to two years in prison, three years of stay of execution, and a fine of W2.67 bn for taking bribery from three companies in return for helping them get east access to loans.

- It is reported that Japanese PM Shinzo Abe rejected an offer made by President Roh and Chinese Premier Wen Jiabao to hold a summit between three nations on a regular basis.

- The Judicial Research and Training Institute revealed yesterday the number of female judicial apprentices who manage to get hired as judges and prosecutors after the completion of the two-year-long course hit a record high with 24.8 per cent or 242 among a total number of 975. Female accounted for 64.4 per cent of would-be judges, and 44 per cent of prosecutor hopefuls. The job assignment is determined based on academic performance throughout the training course in the institute.

- President Roh missed a lunch hosted by Philippines President Arroyo after he did not attend a gala dinner on previous night. The presidential blue house explained he was excused because the supposed working lunch changed to a social one.

Today's headlines_Jan. 15

- The GNP said “government’s plan to hold an inter-Korean summit within this year seems to aim at distracting people’s attention from government’s mismanagement of the administration and politically exploiting the summit to its advantage in the upcoming presidential election.”

- In an interview with Maeil Business Daily, Construction Minister Lee Yong-seup said the ministry would announce a plan by June to build a new city in order to solve housing shortages in the so-called ‘bubble seven’ region. The planned new city will be about the same size of Bundang.

- A 15-day long strike by militant unionists has been causing a serious problem to the performance of Hyundai Motor. The company said “as of January 11, a total of 13,000 cars couldn’t be delivered to domestic customers, up 44 per cent from the end of last year.”

- Housing supply is set to increase by 100,000 to 500,000 from last year as major construction companies plan to double or triple their supply especially before September when the measure by the government to put a cap on apartment prices takes effective.

- A government official said President Roh’s missing of a gala dinner at the ASEAN+3 summit was due to accumulated fatigue from a cold and ‘psychological war’ with Shizo Abe on the matter of Japanese abduction by the North. Abe insisted to include the abduction issue in the joint press release by Korea-China-Japan, on which Roh expressed his disagreement by saying the issue was irrelevant.

- Final trials on the Samsung Everland case and the Hyundai Motor’s embezzlement case will be held on January 18 and 16, respectively.

- One in five state-run companies are in the red and public debts held by public companies amounted to W122 trillion, up by W20 trillion from a year ago, said the Ministry of Planning and Budget.

- The Seoul Metropolitan government will build its new office complex environmentally-friendly by establishing a renewable-energy system in the building.

- It is reported that the US and North Korean working groups will meet on the fourth week of this month to discuss the BDA issue. An official of the Seoul government said yesterday “we understand the US and North Korea agreed to have working-level talks at the end of January but the exact date and venue have yet to be decided.”

- Ulsan prosecutor’s office said it was obviously illegal for Hyundai Motor Unionists to go on a strike against less-than-expected year-end bonus because the bonus cut had been agreed upon between the two parties, and it would sternly react to any illegal workout based on law and principle.

Today's headlines_Jan. 11

- Though the labor reform bill passed at the end of last year and takes effective in six months, companies haven’t prepared for changes since the guidelines of the changed law haven’t been issued yet. Korea Employers Federation projected a W42.6 tr additional expenses to be required for big companies in dealing with raising wages for non-regular workers.

- Labor Minister Lee Sang-su’s remark yesterday that the ministry should consider changing non-regular status of KTX female crews into regular one is causing lots of controversy. KTX female crews have been on strike more than a year demanding to be directly hired by Korea Railroad.

- Civic pension fund reforms aimed at lowering returns in line with the public pension fund were revealed yesterday.

- The BOK froze its call rate at 4.5% as expected.

- The police said it caught 893 cases of illegal prostitution for two weeks from December 22 2006 to January 4 2007, double the number of 433 during two weeks from December 27 2005 to January 9 2006.

- The number of people who got hired last year totaled 23.15 m, 1.3 per cent up or 295,000 from 2005, which was far less-than-expected. At early 2005, the target number for job creation was 400,000. 236,000 job-seekers aged over 50 found a work but for young people in their 20s, the number of jobs dwindled by 146,000.

- Despite the 'Hwang Woo-seok’ scandal, Korea’s biological engineering researchers produce more research results and had their journals issued in international academic magazines. BRIC, an association of young Korean scientists, said 333 Korean journals have been on prominent scientific journals, 5 per cent increase from a year ago. Cell magazine, a very acclaimed science biweekly magazine, issued 17 journals from Korean researchers, up by 7 from 2005. On Nature Medicine, 8 journals appeared in 2006 (in 2005, there was only one)

- The Ministry of Budget and Planning predicts the national referendum on constitutional reform to change president’ service-term to cost W90-100bn. Ban Jang-sik of the Fiscal Management Office said “the National Election Commission predicts it will cost about W90-100bn … but the necessary budget will change according to additional expenses.”

2006 Statistical Findings by MOGEF on Women in Korea

1.The number of childcare facilities (including both state-run and private childcare centers) more than tripled to 28,367 in 2005 from ten years ago.

2.Government subsidies for childcare on household totaled at W573.9 bn in 2005, up 64.2 % from W349.5 bn in 2004. The number more than quadrupled from the 2001 figure of W142.5 bn and from 2001 to 2005, the subsidy shows an average yearly increase of 41.7 per cent.

3.In the male-dominated Korea, the general trend has been that a man is registered as the head of the family. Recently, however, there has been an increase of female heads as social standing of women has a lot improved. In 2005, males still accounted for 78.2 % (12,402) of registered household heads while females took up for 21.9 % (3,485). But the number of female household heads has increased from 2000 to 2005 at the rate of 31.4 %, while that of male was 6.4 % during the same period.

4.The rate of economically-active females crossed the 50 % mark in 2005 for the first time since the statistical research by the national statistical office started in 1962. The rate stood at 50.1%, up 0.2% from 49.9% in 2004.

5.10.3% of women aged less than 20 are economically-active in 2005, compared to 20.1% in 1985 and 14.5% in 1995. Meanwhile the percentage of working women in their 30s stood at 54.6%, similar to that of women in their 50s with 54.3%. Women in their 30s and 50s are getting economically more active year by year.

6.The number of employed women in 2005 was 9.52m, 1.7 per cent up from 9.36m in 2004. In 2005, women in their 50s show the biggest increase in joining in the workforce by taking up 75% of the 160,000-strong new female entrants into the workforce.

7.Wage discrepancy according to sex is becoming smaller year by year. Female wage ratio to that of male is getting rising with 64.8% in 2002, 65.2% in 2003, 65.7% in 2004, and 66.2% in 2005. (Male wage: 100%)

8.In 2006, female teachers accounted for 72% of all teachers in elementary schools, 63% in middle schools, and 39.1% in high schools. The number of female teachers above administrative-level (vice-principal and principal) increased 83.1 % from 1,411 in 2000 to 2,583 in 2006, but still the total ratio of women against men in the administrative-position was only 12%. In 2006, female principals were 9.3% in elementary schools, 11.1% in middle schools, and 6% in high schools. The ratio of female professors at university has been on the rise and the ratio of last year was 18.8%. Women accounted for 34.6 % in the pool of full-time lecturers at university last year.

9.The number of female science researchers, though increasing, stood at 30,000, only 12.9% of the whole researchers of 234,000 in 2005.

10.The number of women participating in politics is steadily increasing but still very low. For provincial/local political committees, woman representatives accounted for 14.5% or 526 last year, four times larger the 2002 number.

11.The number of women working for the government is on the steady rise but most of them still remain at low positions. As of at the end of 2005, in the government posts of 5-level or higher, women officials totaled 1,271 among 18,706, which was only 6.8%. But in the government posts lower than 6-level, women made up for a whopping 93.2%.

Today's headlines_Jan. 10

- A poll conducted by Chsoun Ilbo and Gallup on 703 people aged more than 19 shows 63.3 per cent of respondents think it would be better for the next government to take care of constitution revision on the presidential term.

- The MOFE objects the plan by financial authorities to put a restriction on giving out loans according to the DTI ratio nationwide. A high-ranking official at the MOFE said “it is not desirable to expand the restriction throughout the country given possible side effects.”

- Samsung Group Chairman Lee Kun-hee stressed yesterday that the company should be ready for any critical situation from unstable economic conditions this year. Yoon Jong-yong, Vice Chairman of Samsung Electronics, also said “considering the fact that 80 per cent Samsung earnings come from exports, a won appreciation is the biggest concern….The company has set its exchange rate at W910 down from W925.”

- Samsung Electronics revealed that it will produce a ‘Google’ and ‘Yahoo’ phone on which users can use search engines, email, and map services provided by the two companies.

- 780 Hyundai Motor unionists this morning left Ulsan for the company headquarters as planned to stage a massive strike in front of the company in protest against thinner year-end bonus than expected.

- North Korean defectors living in the South can legally divorce as the Unification Ministry passed a revised law to allow them to divorce when it is unclear to figure out the whereabouts of their partners.

- Kookmin Bank agreed with its union to change temporary workers’ status into regular one from the second quarter this year and Shinhan Bank also is in talks with its unions on that matter. YTN 2007-01-10 06:45]

- North Korea’s foreign minister Paek Nam-soon died of lung cancer, not kidney problems as believed before.

Today's headlines_Jan. 9

- The government considers gradually reducing mandatory military service period by 6 months from the current 24 to 18 months, the idea rejected by some political quarters as a mere political stunt aiming at the next presidential election.

- In the last year to November, a total of 1,792 complaints were filed by citizens on the misappropriation of tax by local government officials. An investigation by the ministry of planning and budget proved more than W100 bn taxpayer’s money went wasted.

- The paper suggests Korea need to benchmark Denmark, Ireland, United Arab Emirates, and Singapore for their supports for businesses and coins a new word, ‘TEE,’ which stands for Trust, Economic Freedom, and Entrepreneurship as the three most necessary items in order to create business-friendly environment.

- The real estate auction held yesterday by a Seoul East district court was overheated with people who wanted to snap up houses put up at auction on the cheap.

- Asia stocks fell yesterday across the board with Kospi down by 14.95 points or 1.08 per cent at 1370.81. Hong Kong and Singapore stock markets also saw a 1 per cent slump.

- Local departments’ earnings from a new-year sale slumped 1-2 per cent from a year ago.

- On the President Roh’s suggestion this morning to change the presidential term to two four-year term, the Uri party welcomed the idea but the opposition party, while generally accepting the idea, suspects it is more or less one of his political tricks to solve his own political troubles.

- A research by AP and Ipsos found out 81 per cent of Koreans feel stressed every day, the highest among all 10 countries that were polled. The source of their stress comes mostly from workplaces, followed by financial troubles, and family lives.

- A KDI report suggests subsidies to childcare should be provided with strings attached. The paper argues the subsidies should go only to working moms in order to solve both low birth rates and lack of workforce.

- A total of 440 people can be able to concurrently using their mobile phones in Dokdo as old communication facilities are now replaced with new ones to establish sound communication networks.

- Movie production companies which try to shoot some of the scenes in the North are having a hard time in negotiating with it since the North demands lots of money and goods such as cars in return for providing locations.

- Samsung Electronics is set to give out to its employees more than W700 bn in PI (Productivity Incentive) and PS (Profit Sharing) within January.

Today's headlines_Jan. 8

- A research paper by the KDI (Korea Development Institute) shows Korea could have achieved an additional 1 per cent of growth rate from 1991 to 2003 if it had abided by laws and rules more strictly.

- As early as the second half of this year, life insurance companies can float in the stock market. Kyobo insurance company is preparing for flotation within this year while Samsung life insurance sets its plan for next year.

- The National Assembly will hold a confirmation hearing on 15th and 16th for Lee Kang-kuk , a candidate for the head of Constitutional Court.

- The prosecution said it will soon summon former FSS governor Lee Keun-young as a witness in the lobbying scandal of Kim Heung-ju, president of Samju Corporation.

- 80 per cent of senior financial officials who have retired from government posts in the last 6 years turn out to be rehired within two years after retirement, which is not permitted by law. The most popular destinations include Samsung Securities, Kookmin Bank, Kim & Chang law firm, and state banks.

- It is reported that Goh Kun is mulling including the construction of undersea tunnel connecting Korea and Japan in his election pledges.

- Responding to Hyundai Motor’s plan to ask compensation of W1 bn in physical damages and lost production, the union said it would stage a very strong strike against the plan including work refusal and massive protests in front of the company headquarters.

- Hyundai and Kia Motors have entered contingency management system under which the exchange rate is pegged at W880, down W70 from last year in order to set up an export plan for this year.

- It is belatedly reported that President Roh suggested in the summit meeting with Shinzo Abe last November to call the East Sea as ‘Sea of Peace.’

- GNP lawmaker Chung Hyung-geun wrote on his homepage that he believed North Korea finished preparations for the second nuclear test by saying there have been some unusual activities spotted around mountain areas of Kilju in Hamkyungbukdo.

Today's headlines_Jan. 5

- The wife of Choi Uk-il who escaped North Korea 13 years after he had been kidnapped by the regime will visit the MOFAT today in protest against government’s lack of support to save her husband.

- America’s ABC quoted a US defense official as saying North Korea seemed to have finished preparations for another nuclear test. The official said the ministry thought the North completed its preparation to conduct a test without showing any sign or giving out warnings

- Japanese Asahi Sinbun reported today the Japanese government predicted 0.1-0.15m refugees would flow into Japan in the case of emergency on the Korean peninsula

- Singapore’s custom office said on its website the government has banned since January 1, 2007 exports of 14 luxury items including cigar, wine, perfume, plasma TV, portable MP3, and musical instruction to North Korea in line with the UN resolution 1718.

- It is reported that Russia wrote off 80 per cent of $8 bn debt of North Korea.

- The North’s Committee for Peaceful Unification of the Fatherland claimed yesterday “GNP’s maneuver to regain the power is not only an internal issue for South Korea but also an issue on which the nation’s peace, unification, and the life or death of people on the peninsula hang.” “Nobody can turn a blind eye on such a plot by the GNP which will bring disaster onto this land,” suggesting the North would wield influence in some way in the upcoming presidential election.

Today's headlines_Jan. 4

- As early as this February, loan applicants with a debt-to-income ratio beyond 40 per cent will face a harder time to quality for the mortgage loan.

- Chief Justice of the Supreme Court Lee Young-hun is said to have failed to pay W20m in income tax when he was a lawyer. He belatedly paid the tax yesterday.

- President Roh said yesterday “I wanted to get good evaluation from the public but I completely gave up last year….in 2007 I think it would be better for me not to be bothered any more.”

- The KCNA reported yesterday that North Korea’s Foreign Minster Paek Nam-sun died but did not revealed when and how he died.

- Hyundai Motor’s militant unionists disrupted the company’s new year celebration ceremony, leaving President Yoon Yeo-churl injured and Vice President Kim Dong-jin to abruptly stop doing the opening speech. The 40-minute planned ceremony ended in just 10 minutes. President Yoon said in a phone interview with Maekyung “We will definitely hold people accountable for causing such disruptions.”

- President Roh said yesterday “we will hammer out special measures this year so that the exchange rate will not weigh heavily on the economic performance.”

- Stock prices sharply fell yesterday, closing at 1409.35, down by 25.91 point from a day earlier, on news of stricter rules on mortgage loan and selling-off by foreign investors.

- Prosecutors and the police are set to launch an investigation into Hyundai Motor unionist’s violent behaviors at the company’s new year event as the company decided to bring the case to court.

- The MOFAT plans to give out the drinking-driving guidelines in consultation with the police to foreign embassies in Korea.

- With the year 2007 being the ‘golden pig’ year, a small pig pet is getting increasingly popular.

- Japanese Mainichi Sinmun reported that after the nuclear test in October last year, Kim is said to have told party leadership that he would stay in power well into aged 80 and 90 as a supreme leader, rejecting any speculation that he would soon appoint a successor.

Today's headlines_Jan. 3

- President of Samju Co.(former Grace Department Store) Kim Heung-ju is reported to have revealed that he bribed W30m to a former senior official at the Financial Supervisory Service who is still working in the agency.

- Education Minister Kim Shin-il said the six-year advance notice, not the current three-year notice, is necessary for students to sufficiently prepare for a changed university entrance exam system.

- Korea Housing Finance Corporation is reported to have been actually making profits from low interest loans it provides to students with financial difficulties. The corporation earned a total of W14.6 bn in profits in the year to September last year.

- CEOs stressed creativity, aggressive attitudes, and fearless minds in their New Year addresses.

- Seoul Housing Corporation, the city-run public apartment providing company, will set a price for public apartments at 75-85 per cent of the same size apartment prices in Seoul.

- A foreign ministry official said Korea and China, marking the 15 anniversary of forming a diplomatic relations this year, is considering running a shuttle flight between the two in an effort to enhance mutual exchanges.

- The prosecution investigating into the Samsung Everland CB case said it will mull over whether to call Lee Kun-hee in for probe after a ruling by the appellate court is out this month.

- The Ministry of Commerce predicts the volume of export to be $360 bn for 2007. The projected growth rate is 10.4 per cent, lower than last year’s 14.6 per cent due to aggravating external factors such as sagging US economy.

- According to the data from the Ministry of Planning and Budget, 20 out of 27 retirees from big public corporations have been rehired by affiliated companies for the last three years.

- Park Myung-jae, Minister of Government Administration and Home Affairs, said this morning that he would do his best to reform the pension fund system for civic officials within this year.

- Bloomberg reported the WRF (Washington Research Foundation) sued last month Samsung for patent rights infringement in a Bluetooth mobile phone.

Today's headlines_Jan. 2

- President of Samju Co.(former Grace Department Store) Kim Heung-ju is confirmed to have bribed former and incumbent financial officials for easy loans back in 2002.

- Former GNP leader Lee Hoi-chang made it clear that he would not run for the next presidential election saying “I don’t have any plan for joining in the real politics.”

- Local banks will more strongly rein in house-backed loans.

- Finance Minister Kwon O-kye hinted that business deregulatory measures will be released early January in order to attract more foreign investments.

- While young Asians set their eyes on a wider world for fulfilling their business ambitions and do not fear for failure, lots of Korean youngsters tend to be more obsessed with long-term life stability by spending years, sometimes fruitlessly, preparing for national exams to become governmental officials, lawyers etc.

- ‘Imagination is the power’ is the phrase that companies should focus in the new year for success.

- The newspaper poll on 100 economic experts found that a rising won, possible financial crisis arising from unstable property market, and the presidential election will be the three factors that might pose a threat to national economic stability this year. And they say in one voice that presidential hopefuls should put their priority on sweeping deregulations for business in their election pledges.

- Lee Yong-hun, the Chief Justice of the Supreme Court, stressed this morning on earning public trust in a trail, saying the judicial power comes from public trust.

- The number of apartments in the metropolitan area which are subject to property tax levied on houses more than W600 m totals 361,021, a whopping 88.6 per cent up from a year ago due to rising apartment prices last year.

- The Labor Ministry revealed yesterday 563,562 people applied for unemployment benefits in 2006, 8.8 per cent up a year before, marking the biggest number since the system was introduced in 1997. The trend is largely attributed to an increasing number of temporary workers amid sluggish economic performance.

- In the new year’s joint editorial, North Korea revealed its willingness to influence the outcome of the presidential election. It said “with the upcoming South Korea’s presidential election as a momentum, traitorous pro-American conservatives including the GNP should be buried by realizing a grand coalition of anti-conservatism.”

- Kumho Life Insurance scrapped its plan to put a restriction on insurance money for people with bad personal credit history.