Yeongdeungpo-gu Confirms Next Year's Living Wage at 10,702 Won... Monthly Salary 2.23 Million Won

Next Year's Living Wage Set at 10,702 Won... 1,982 Won Higher Than Next Year's Minimum Wage... Monthly Salary Calculated at 2.23 Million Won for 209 Hours... Reflecting Inflation Rate, Household Income and Expenditure

[Asia Economy Reporter Park Jong-il] Yeongdeungpo-gu (Mayor Chae Hyun-il) has finalized the 2021 living wage at 10,702 KRW per hour through the deliberation of the Living Wage Deliberation Committee.

The living wage is the minimum wage paid to workers to ensure a basic human and cultural standard of living, calculated as the minimum level of wage that allows for actual living, considering inflation rates, household income, and expenditures.

Yeongdeungpo-gu has been implementing the living wage system since 2016, and the newly set living wage will be applied from January 1 to December 31 each year.

The district held a deliberation committee from the 22nd to the 24th of last month to determine the target groups and amount for the living wage, conducting the deliberation in writing to prevent the spread of COVID-19.

The final approved living wage for next year is 10,702 KRW, calculated fairly based on the 'Seoul-type Living Wage' standard manual, taking into account household expenditures, poverty thresholds, housing costs, and private education expenses.

The living wage for Yeongdeungpo-gu next year is set equal to the Seoul city living wage, which is an increase of 179 KRW or 1.7% from this year's living wage of 10,523 KRW.

It is also 1,982 KRW higher than next year's minimum wage of 8,720 KRW, showing a 22.7% increase.

Based on the statutory working hours of 209 hours, when converted to a monthly salary, workers will receive 2,236,718 KRW, which is 414,238 KRW more than the minimum wage monthly salary of 1,822,480 KRW.

The living wage next year will apply to approximately 490 workers affiliated with Yeongdeungpo-gu’s main office and district-funded and supported institutions (Facility Management Corporation, Cultural Foundation, Scholarship Foundation).

Furthermore, the district plans to foster a social atmosphere where the living wage system can expand beyond the public sector into the private sector, encouraging voluntary participation from local businesses.

Mayor Chae Hyun-il stated, “I hope that next year’s living wage will contribute even a little to stabilizing the lives and improving the quality of life of workers struggling due to COVID-19,” and added, “We will prepare practical support measures to help workers who quietly do their best despite difficult circumstances.”