勞 "Wages Increased in Large Corporations and Public Enterprises" vs 使 "Concerns Over Prolonged COVID-19 Crisis"

Choi Im-wi Holds 2nd Meeting... Core Issue is 'COVID-19'
Business Community "COVID Shock... Small Businesses Pushed to the Brink"
Minnocho "Demand Public Committee Members Resign... None Replaced"

[Image source=Yonhap News]

[Asia Economy Reporter Kim Bo-kyung] "If the COVID-19 crisis prolongs, corporate management will worsen further, and there will be serious impacts on jobs." (Ryu Ki-jung, Executive Director of the Korea Employers Federation)

"Large corporations, public officials, and public enterprises have seen wage increases despite the COVID-19 situation. If the minimum wage, which is the social safety net and lifeline for vulnerable groups, does not keep up, wage inequality and social polarization will further expand." (Lee Dong-ho, Secretary General of the Korean Confederation of Trade Unions)

The 'second round' for deciding next year's minimum wage has begun. On the afternoon of the 25th, the Minimum Wage Commission held its second plenary meeting at the Government Complex Sejong. All 27 members, including those recommended by the Korean Confederation of Trade Unions who had not attended the first meeting, were present. Once again, the COVID-19 pandemic was the core issue. The labor side argued that the minimum wage, directly linked to the survival of low-wage workers, must be raised, while the management side expressed concerns about worsening business conditions and job losses due to the prolonged COVID-19 crisis.

[Image source=Yonhap News]

Ryu Ki-jung, Executive Director of the Korea Employers Federation and a user committee member, said in his opening remarks, "There is growing concern that the COVID-19 crisis may prolong," adding, "It is true that we worry small business owners and small and micro merchants might be pushed to the brink." He explained the worsening employment situation by citing specific figures such as a decrease of 210,000 youth jobs, 1 trillion won in unemployment benefits paid, and a reduction of 200,000 self-employed persons with employees.

He urged, "Please conduct discussions so that the minimum wage is decided considering various factors such as employment and economic conditions, and aligned with the perspectives of those responsible for employment and those trying to protect jobs."

Lee Tae-hee, Head of the Smart Jobs Division at the Korea Federation of SMEs, said, "The shock from COVID-19 is enormous. This is a difficult and painful time for both companies and workers," adding, "If deliberations are conducted with empathy and consideration of field circumstances, good results will come."

The labor side emphasized the inevitability of raising the minimum wage, stating that the livelihoods of low-wage workers have worsened due to the COVID-19 crisis.

Lee Dong-ho, Secretary General of the Korean Confederation of Trade Unions and a worker committee member, said, "According to the recently released Household Trend Survey, expenditures of low-income groups have decreased much more than those of high-income groups. This means they have much less money to spend," adding, "In difficult situations like now, normal negotiations and wage increases are necessary."

He also noted, "Large corporations, public officials, and public enterprises have seen wage increases despite the COVID-19 crisis," and predicted, "If the minimum wage, which is the social safety net and lifeline for vulnerable groups, does not keep up, wage inequality and social polarization will further expand."

[Image source=Yonhap News]

Yoon Taek-geun, Vice Chairman of the Korean Confederation of Trade Unions, said, "Over the past month, we conducted a march to listen to the voices of minimum wage workers, irregular workers, and socially vulnerable groups," adding, "We heard desperate appeals that 'it is impossible to live on the minimum wage alone.'"

He continued, "There are claims that the minimum wage should be frozen or compromised again due to COVID-19," adding, "We must not ignore the voices of minimum wage workers. Their voices were desperate, and their calls to live together must not be ignored this year."

He said, "From the labor side's perspective, last year's Minimum Wage Commission faced considerable difficulties, and the public interest commissioners betrayed our hopes." Last year, the Korean Confederation of Trade Unions protested the decision of the third-lowest minimum wage increase rate in history (2.87%) and demanded the resignation of the public interest commissioners.

Vice Chairman Yoon concluded by saying, "We demanded the resignation of the public interest commissioners, but not a single one was replaced. There was no explanation about what would be done afterward. This is very regrettable. I ask the chairman for a response."

Chairman Park Joon-sik of the Minimum Wage Commission made no particular remarks and switched the meeting to a closed session. The meeting planned to discuss the minimum wage decision unit, differentiated application by business type, and the level of the minimum wage.

This content was produced with the assistance of AI translation services.