Next Year's Minimum Wage: Labor and Management Start with 1,680 Won Gap in Initial Demands

Labor and management have shown a significant difference in their initial demands regarding the increase of next year's minimum wage. The labor sector proposed an hourly wage of 12,000 won, a 16.3% increase from this year, while the management sector advocated for a freeze. The initial demands from both sides differ by 1,680 won.

The Minimum Wage Committee held its 8th plenary session on the 23rd at the Government Complex Sejong to begin discussions on next year's minimum wage increase rate. Labor cited the decline in real wages due to inflation as grounds for an increase. Management proposed maintaining the current minimum wage of 10,320 won, citing the difficult situation faced by small and medium-sized enterprises and small business owners, as their initial demand.

The minimum wage deliberation process involves labor and management narrowing the gap by submitting revised proposals after discussions. The statutory deadline for the minimum wage deliberation is June 29th, and the committee will submit the proposed minimum wage to the Minister of Employment and Labor by mid-July. The Minister of Employment and Labor will finalize and announce the minimum wage by August 5th.