10/08/2017 Asia Business Report

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Live from Singapore, the essential business news as it breaks and a look ahead to the news that will shape the business day.

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Now on BBC News all the latest business news live from Singapore.


A deadline looms for Toshiba to report its annual results. It has


until today to get an to sign it off. Silicon Valley setting an


example when it comes to paid maternity leave in America but will


the rest of the country Good morning, Asia, hello, world.


It's Thursday and glad you could join us for this edition of Asia


Business Report, I'm Rico Hizon and we begin with Japan's troubled


electronics giant Toshiba and today is the deadline for the company to


report its audited results for the past fiscal year. Toshiba has missed


the deadline several times and some investors are now questioning its


very survival. For the latest let's go over to Mariko Oi, our business


editor, a lot of confusion about these Toshiba results, they can't


seem to reconcile where they are at. Indeed. The delay has been caused


because of the disagreement between the auditor and Toshiba, but it


looks like at least the auditor is giving a partial approval so that


the company can report its results later today. Let's remind you of how


we actually got here, because it actually all started over a decade


ago when Toshiba bought US nuclear company Westinghouse. We didn't hear


much about it until of course in March 2011 the massive tsunami


struck a nuclear power plant in Fukushima causing a huge disaster


and that made it obviously a lot harder for companies to sell nuclear


energy. Then again we didn't really hear from them until two years ago


when we found out Toshiba has been inflating profits over the last


seven years. Just as the company was starting to recover from that


accounting scandal in December last year, we heard Westinghouse, the US


nuclear company, has been losing quite a lot of money. We didn't know


how much but the number kept ballooning and that's basically why


the company hasn't been able to report its results. It started


trying to sell the chips business, which is the only profitable unit,


but it's facing legal challenges from its US partner. Because of that


we saw the company's chairman resign and then Westinghouse filing for


bankruptcy as well. Earlier this month we saw shares in Toshiba being


demoted to the second section of the Tokyo stock exchange and if Toshiba


couldn't file results by today then there were fears it could even get


delisted, but at least that the Earth seems to be waning. Hopefully


the drama ends today, we will have to wait and see. -- that the. In


Japan one of the biggest companies that makes liquid-crystal displays


for television screens is slashing 30% of its workforce. Japan Display


said it will cut 3700 jobs as part of restructuring. It also expects to


make a loss of $1.5 billion in the current financial year. Japan


Display has been in the red for the last three years.


The owner of Fox News and pretty fair century Fox movie studio looks


to have benefited from a Trump bump. Fox said revenues rose by 1.5% to


$6.8 billion in the fourth quarter after rating is at its cable TV


business improved and grew in more advertisers. Fox is owned by media


mogul Rupert Murdoch. He's looking to buy the rest of the European


television station Sky that it does not already own for 14.5 billion


dollars. India starter motors, which owns Jaguar Land Rover, reported a


10% fall in income to just under 9.5 billion US dollars for the three


months between India and June -- April and June. There's been an


issue with the heavy vehicle business and that resulted in poor


results. But profitability gained over 40%. Union workers at Hyundai


are expected to begin a partial strike today, factory workers plan


to stop work on Monday next week to pressure the management to raise


wages. This is after that troubles were reported at the fifth biggest


world automaker. Profits have fallen for 14 straight quarters, or 3.5


years. Car sales have been hit hard by political tensions with China,


which accounts for one fifth of sales. What impact will a partial


strike have on the car company? Earlier I asked analyst James Rooney


in Seoul. Unfortunately there never is a good time for companies to


experience strikes. For Hyundai, this is one of the rights of summer.


For the past 30 years or so they have had this Midsummer strike


around wage negotiations and almost it would seem like a shame if it


wasn't happening. However, it's not a good time for them to be demanding


significant wage increases. Were talking about the order of 7% here,


very significant relevant to how inflation is today. Surely this will


have an impact on the bottom line of Hyundai going forward and the new


president of South Korea, James Comey has been focusing on job


creation and wage increases. Will this have an impact on negotiations?


I think the political environment with the new leadership certainly is


more favourable towards management, and for various reasons, I'm sure we


are all aware of, the leadership are under pressure after the scandal


with Park. Unfortunately for Hyundai that political environment includes


the whole missile issue that China has been so upset about, which has


cut off the growth in sales in Hyundai's most significant market,


which has shut. On the other hand, Hyundai is so used to having this


kind of event, they saw the sort of build it into their budget and later


on in the year they will make up the production shortfall in relation to


their annual bills -- they sort of. It's part of the fabric of the


industrial structure here unfortunately. Unions aren't as


powerful as you would think and strikes are quite rare but when they


happen they can be quite colourful. You may hear a lot of noise in the


street if that gets out of control. South Korean business expert James


Rooney in Seoul. Now for the latest in our series that's been running


across the BBC this week. Today we turn our attention to Silicon Valley


where technology giants like Google and Facebook are leading the way


when it comes to offering paid maternity leave. The US doesn't


require paid leave guarantees but Donald Trump's daughter is trying to


convince her father policy needs to change. Our North America technology


reporter Dave Lee has more. Macro a when Martha decided it was time to


have children she knew her job managing public relations for


technology companies would become untenable.


I've been thinking along time about all of the ways that work doesn't


align well with being a professional parent. She decided to set up her


own firm and set about putting in place family friendly policies, the


types of which most people in this country don't have access to. I


decided to be intentional about building a business when we can be


ourselves, the mothers among us but being clear with younger employees


that if they have things they want to pursue that fall inside of normal


work hours, they camp as you those also know we are not favouring one


stage of life over another or penalising one in favour of another


-- they can pursue. Raising a child in the US is very difficult and


costly. 12% of private sector companies offer paid parental leave


and the US is one of three countries in the world not to have a paid


parental leave law. But it's hoped Silicon Valley is starting a trend


that could change that. This organisation argues for better


coverage for American workers. There's been a lot of momentum from


tech companies around increasing access to maternity leave and in


particular family leave and medical leave, which is great. It shows it


makes good business sense, these companies wouldn't be doing it if it


wasn't good for bottom lines, and that's good for the economy and


those individual families and employees. One of those tech


companies is go daddy, the world's largest seller of Internet domain


names. The company has faced criticism in the past for being an


overly macho workplace, a scenario prevalent in technology. Like a lot


of tech companies we have lots of similar issues, we are trying to


resolve those and continuing to build an awesome culture where


people can do the best work of their lives. Anyone who is a new parent


can get 12 weeks paid to melt, welcomed their new family member,


the birthing mother gets another six weeks to recover as well physically


-- to welcome. Silicon Valley is perhaps best place to set the sample


given the fierce competition for top talent. The progress requires people


at the top of big companies to value both successful careers and happy


families. Dave Lee, BBC News, in San Francisco. We have half a minute to


tell you about the financial markets in Asia, despite the escalating


tension in the Korean peninsula and relations between North Korea and


the United States, we are seeing some gains in some of the Asian


bourses. The Nikkei 225 up 74, the All Ordinaries gaining 22. Thank you


so much for spending your time with us. I'm Rico Hizon, Sport Today is