A trilateral commission has voted to raise the minimum wage for next year by two-point-nine percent, which would bring the hourly wage to eight-thousand-590 won.
The Minimum Wage Commission, a 27-member panel consisting of labor and business representatives as well as government-picked policy experts, made the decision early Friday morning after holding marathon negotiations that began the previous day.
In a vote held after 13 rounds of negotiations, the commission decided to adopt the two-point-nine percent increase by a vote of 15 to 11 with one abstention.
Business representatives had proposed the two-point-nine percent hike after previously expressing reluctance to agree to any increase of next year’s minimum wage.
Labor’s final offer before the vote was a six-point-three percent hike that would have brought the threshold up to eight-thousand-880 won.
When the proposals were first put forth, labor requested a minimum hourly wage of ten-thousand won for next year, or a 19-point-eight percent increase from this year's rate, while business sought a four-point-two percent cut to eight-thousand won.
The two sides lowered and raised their respective proposals in a subsequent round.
If finalized, the two-point-nine percent increase would be the lowest annual minimum wage hike under the Moon Jae-in government, which previously oversaw gains of 16-point-four percent and ten-point-nine percent respectively over the last two years.
[Photo : YONHAP News]