The Minimum Wage Commission, composed of nine representatives each from labor, management, and the public, held its fifth plenary meeting at the Government Sejong Center on June 11. The commission voted on whether to apply minimum wage standards to contract workers, resulting in 11 votes in favor, 15 against, and one invalid vote.
The commission stated, "As a result of the vote on whether to apply a separate minimum wage for contract workers in 2027, it has been decided that the minimum wage will not be separately applied to contract workers."
Consequently, discussions on minimum wage application for contract workers will be postponed until next year. Contract work is a form of employment where compensation is based on the results or volume of work as outlined in a contract. This includes special employment and platform workers such as delivery drivers, ride-hailing drivers, and private tutors.
Labor groups have been advocating for this issue for several years. Current minimum wage laws allow for the application of minimum wage to contract workers, even in cases where calculating working hours is difficult. However, the lack of specific application criteria has led to criticism that the law is effectively unenforceable.
Proponents argue that applying minimum wage to contract workers would reduce instances of "free labor" and prevent excessive workloads, providing a necessary safety net to protect livelihoods and survival from various risks.
Conversely, employers argue that minimum wage laws apply only to workers defined under labor standards, and since many contract workers are classified as independent contractors, they should not be included in minimum wage discussions. They contend that expanding minimum wage application would increase the burden on small businesses and other employers.
* This article has been translated by AI.
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