Employer commissioners and employee commissioners attend the 14th plenary meeting of the Minimum Wage Commission at the central government complex in Sejong on July 14, 2026. (Yonhap)
A Korean government commission has set next year’s minimum wage at 10,700 won per hour, up 3.7% from this year.Korea’s Minimum Wage Commission said Tuesday it had decided on next year’s minimum wage at its 14th plenary meeting at the government complex in Sejong.The decision was reached by a vote after employee commissioners, employer commissioners and public interest commissioners failed to reach a consensus.The new minimum wage is 380 won higher than this year’s rate of 10,320 won. Assuming a 40-hour workweek, that’s equivalent to a monthly wage of 2,236,300 won (approximately US$1,500).This year’s wage hike exceeds both the Bank of Korea’s consumer price inflation forecast of 2.7% and minimum wage increases over the past three years, which have stayed in the 1.5%-3% range.The minimum wage rose to 9,860 won in 2024 (an increase of 2.5%),10,030 won in 2025 (1.7%) and 10,320 won in 2026 (2.9%).This year’s minimum wage debate ran beyond the statutory deadline of June 29.The commission will submit its proposal to the minister of employment and labor, who must officially announce the new wage by Aug. 5. The updated minimum wage will take effect on Jan. 1 next year.The public interest commissioners additionally recommended that the government establish a task force to explore extending minimum wage protections to gig workers on digital platforms and in special employment arrangements.“The issue of applying a minimum wage to contract work was discussed, but no agreement was reached,” the commissioners said in the recommendation submitted to the government on Tuesday.“The Ministry of Employment and Labor should establish a task force to comprehensively research issues including the scope of workers to be covered by minimum wage and the standards for extending coverage and then develop a sweeping reform package.”By Kwon Hyo-jung, staff reporterPlease direct questions or comments to [english@hani.co.kr]
