Minimum Wage Gap Between Labor and Management Narrows to 720 Won... 8th Revised Proposal

Yonhap News Agency

The gap between the proposals submitted by labor and management regarding next year's minimum wage has narrowed to 720 won.

At the 10th plenary session of the Minimum Wage Commission held at the Government Complex Sejong on July 8, labor and management each submitted their eighth revised proposals, calling for 10,900 won and 10,180 won per hour, respectively.

Compared to the previous seventh revised proposals, labor lowered its demand by 100 won, while management raised its offer by 10 won.

Labor initially demanded 11,500 won per hour (a 14.7% increase from this year), then revised its proposals to 11,460 won (14.3% increase), 11,360 won (13.3% increase), 11,260 won (12.3% increase), 11,140 won (11.1% increase), 11,020 won (9.9% increase), 11,000 won (9.7% increase), and now 10,900 won (8.7% increase).

Management initially proposed freezing the wage at this year's level of 10,030 won, then gradually raised its offers to 10,060 won (0.3% increase), 10,070 won (0.4% increase), 10,090 won (0.6% increase), 10,110 won (0.8% increase), 10,130 won (1.0% increase), 10,150 won (1.2% increase), 10,170 won (1.4% increase), and now 10,180 won (1.5% increase).

The gap between the two sides, which was 1,470 won based on the initial proposals, has now narrowed to 720 won in the eighth round of revisions.

The commission plans to reconvene for further discussions after a short break for dinner.

Public interest members are emphasizing the need for an agreement between labor and management. However, if it is determined that the gap cannot be narrowed further, they may propose a "deliberation facilitation range."

Last year, public interest members presented a deliberation facilitation range of "10,000 to 10,290 won." After this, labor and management each submitted their final proposals, and following a vote, management's proposal of 10,030 won was set as this year's minimum wage.