SEOUL - South Korea's Minimum Wage Commission has rejected a proposal to implement industry-specific minimum wages for the next year, following a contentious vote.
According to Yonhap News Agency, details from Tuesday's plenary session held at the government complex in Sejong, the commission, which consists of equal representatives from labor, management, and the public interest sectors, voted 15 against and 11 in favor of differentiating minimum wages by industry, with one vote declared invalid. Since 1988, South Korea has maintained a uniform minimum wage across all sectors, a policy supported by the labor representatives who argue that varying wages by industry could undermine the system's goal to ensure a minimum standard of living for all workers.
The session was marked by disruptions, with labor representatives reportedly tearing off ballots and seizing the commission chairman's gavel, reflecting deep divisions within the group. Ryu Gi-jeong, a senior executive from the Korea Enterprises Federation and member of the commission, expressed the management side's frustrations, hinting at a possible boycott of future meetings unless actions are taken to manage such unruly behavior.
The ongoing debate highlights the struggles between ensuring fair wages and addressing the economic realities faced by small businesses and the self-employed, who cite high rents and competitive pressures as more significant than wage costs. The commission has missed the legal deadline for setting the 2025 minimum wage, indicating continued negotiations as the labor sector pushes for a raise and management advocates for a wage freeze.