Logistics Firms Hike Investment


Below is the excerpted article from the Korea Times.


Logistics Firms Hike Investment


Logistics companies will invest heavily this year but reduce their staff.

In a survey of 70 logistics firms, 78.7 percent answered that they will increase investment this year, according to the Korea Chamber of Commerce and Industry (KCCI) on Thursday.

About 90 percent of the respondents expect sales to increase this year, with 63.3 percent predicting double-digit growth.

Among them, CJGLS, the logistics arm of CJ Group, predicted its sales will grow by 24 percent this year to 379 billion _ the highest rate forecast among the respondents.

But contrary to the positive outlook for investment and sales, logistics companies are unlikely to actively create new jobs.

Four out of 10, or 40.4 percent of the respondents, said they will reduce employment this year compared with last year as part of cost-cutting plans.