The Minimum Wage Commission on July 12 set the minimum hourly wage for next year at KRW 10,030. Shown is the commission's chairman Lee In-je (left) in the early morning hours of July 12 answering questions from journalists after holding a meeting of the body at Government Complex-Sejong. (Yonhap News)

By Yoon Sojung

The minimum hourly wage for next year is set at KRW 10,030, up 1.7% from KRW 9,860 this year and breaking the KRW 10,000 mark for the first time.

The Minimum Wage Commission on July 11 held a plenary meeting with all 27 members at Government Complex-Sejong to review the second, third and fourth amendments submitted by labor and management on the wage. In the early morning hours of the following day, a vote decided on a minimum hourly wage of KRW 10,030, or KRW 2,096,270 a month based on a 40-hour workweek.

The agreement came 53 days after labor and management narrowed their differences. On July 9, the former proposed minimum hourly pay of KRW 12,600, but management wanted to freeze it at this year's KRW 9,860.

So the country will see its first minimum wage surpassing KRW 10,000 since its adoption in 1988.

The commission comprises nine members each from labor, management and public interest groups. Under the Minimum Wage Act, the rate for 2025 will be submitted to the Ministry of Employment and Labor. 

The rate takes effect on Jan. 1 after the ministry finalizes the proposal and officially announces it by Aug. 5.

arete@korea.kr