Next year, the minimum wage will be applied uniformly without distinction by industry. This is because the introduction of a plan to adjust the minimum wage according to industry payment capacities has been canceled.
The Minimum Wage Commission (MWC) held its sixth meeting at the government complex in Sejong on the 19th and made this decision. The 27 members of the MWC, which includes workers, employers, and public interest representatives, voted on whether to apply the minimum wage differently by industry. As a result, it was rejected with 15 votes against, 11 in favor, and 1 invalid vote.
Previously, the business community had argued for the introduction of differentiated minimum wage application by industry. Their stance was that even for vulnerable sectors such as food and accommodation, the minimum wage should be set lower to reduce wage burdens. However, the labor community opposed this, stating that it would " undermine the fundamental purpose of the minimum wage system."
With the discussion on differentiated application by industry coming to an end, the MWC has begun discussions on the minimum wage level for next year. The business community proposed that the minimum wage be frozen at this year's level of 10,030 won. The labor community demanded an increase of 14.7% over this year's minimum wage to 11,500 won, as previously stated at a press conference. The difference between the initial demands of both sides is 1,470 won.
The labor and management sides will continue discussions to finalize the minimum wage level for next year starting from the seventh plenary session on the 26th.