The minimum wage for next year has been set at 10,700 won, a 3.7% increase from this year.
The Minimum Wage Commission held its 14th plenary meeting on July 14 at the Government Sejong Center, where it finalized the minimum wage. Based on a 40-hour work week (209 hours per month), the monthly wage will be 2,236,300 won.
During the meeting, both labor and management presented a total of four revised proposals, narrowing the gap between their positions. Initially, the difference in the 10th revision was 600 won (11,150 won from labor and 10,550 won from management), but it was reduced to 30 won (10,730 won from labor and 10,700 won from management).
Discussions gained momentum after the public interest committee proposed a deliberation range. This range sets the upper and lower limits for negotiations, within which agreements or votes can occur.
The public interest committee had previously established the deliberation range for next year's minimum wage between 10,600 won and 10,860 won, indicating a potential increase of 2.7% to 5.25% from this year. Following this, labor and management continued discussions to narrow their positions, with the public interest committee recommending a consensus figure of 10,720 won.
However, an agreement was not reached, and a vote was conducted based on the proposals from both sides. The labor side proposed 10,730 won, while the management side suggested 10,700 won, representing increases of 4.0% and 3.7%, respectively, from this year's minimum wage of 10,320 won.
All 27 members present participated in the vote, resulting in 11 votes for the labor proposal, 15 for the management proposal, and one invalid vote, leading to the decision to adopt the management proposal for next year's minimum wage.
Chairman Kwon Soon-won expressed disappointment over the failure to reach an agreement, stating, "I feel a great sense of responsibility. Given that this is the closest final proposal from both labor and management, I believe it holds significant meaning."
He added, "I deeply appreciate the commitment shown by all parties to continue discussions with a sense of responsibility and empathy. The diligence and collaboration in reaching this final decision are noteworthy achievements."
* This article has been translated by AI.
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