Next Year's Minimum Wage to Be Set Between 10,210 and 10,440 Won on July 10

As disagreements between labor and management over next year's minimum wage have shown little sign of narrowing, the public interest members have ultimately proposed a "deliberation facilitation range" as a form of mediation. However, labor representatives are expected to experience significant difficulties due to the proposed increase rate being lower than anticipated.

At the 11th plenary session of the Minimum Wage Commission, held in the early morning of July 9, 2025, at the Government Complex Sejong, the public interest members decided to conclude the meeting after failing to narrow the gap between labor and management. They also agreed to hold another meeting on July 10.

At the 10th plenary session, which began at 3 p.m. the previous day, labor and management presented their 8th revised proposals, narrowing the gap to 720 won. However, as disagreements persisted, the public interest members eventually proposed a "deliberation facilitation range" between 10,210 won (a 1.8% increase) and 10,440 won (a 4.1% increase).

The lower limit of 10,210 won proposed by the public interest members reflects this year's projected consumer price inflation rate, while the upper limit of 10,440 won is calculated by adding this year's national economic productivity growth rate (2.2%) to the difference between the cumulative consumer price increase and minimum wage increase rates from 2022 to 2024 (1.9%). This range has often been used as a compromise in past deliberations, and both labor and management are required to submit revised proposals within this range.

Minimum Wage Commission, 'Different Claims' (Sejong=Yonhap News) Reporter Jae-Man Bae = On the 1st, at the 8th plenary session of the Minimum Wage Commission held at the Government Complex Sejong, the employer representatives (photo above) and worker representatives (photo below) attended with placards displaying their respective claims in front of them. 2025.7.1 scoop@yna.co.kr (End)

The Minimum Wage Commission plans to have both labor and management submit revised proposals at the 12th plenary session on July 10 and will attempt a final agreement. However, if an agreement cannot be reached, the commission intends to finalize next year's minimum wage through a vote. This is because a conclusion must be reached before the legal announcement deadline of August 5.

Ryu Kiseop, Secretary-General of the Federation of Korean Trade Unions, stated after the meeting, "We demanded the withdrawal of the deliberation facilitation range, saying it is unacceptable, but under the current system, there is no way to reverse it. At the 12th plenary session on July 10, we plan to present a revised proposal within the facilitation range and attempt to reach an agreement, but if that proves difficult, we will conclude the process through a vote if necessary."

It is reported that the employer representatives continue to maintain that even the upper limit of 10,440 won is excessively burdensome.