"Minimum Wage Increase? A Shortcut to Mutual Destruction for Small Business Owners and Workers... Should Be Frozen"

Sogongyeon Urges 2024 Minimum Wage Freeze
"Small Business Owners on the Brink... Jobs Will Also Disappear"

The Minimum Wage Commission missed the deadline for deciding next year's minimum wage, prompting the small business sector to strongly urge a 'freeze.'

The Korea Federation of Micro Enterprise Associations issued a statement on the 30th, saying, "The Minimum Wage Commission postponed the decision as it agreed to continue discussions on the 4th of next month," and added, "We hope that through in-depth discussions, the position of small business owners will be clearly reflected."

The Minimum Wage Commission held its 9th plenary meeting on the 29th, the legal deliberation deadline, but after repeated recesses and resumptions, it failed to complete the review by past 11 p.m. The decision on the minimum wage was postponed as discussions will continue at the 10th plenary meeting on the 4th of next month.

The Federation of Micro Enterprise Associations stated, "The labor sector is ignoring the reality of small business owners by demanding a 26.9% increase from this year's minimum wage to 12,210 won for next year," and raised their voice, saying, "We cannot agree to such an irresponsible demand that disregards the desperate cries of small business owners, who are the payers."

They continued, "We must not overlook the prediction (announced by the Federation of Korean Industries) that up to 470,000 jobs could disappear if the minimum wage rises as they demand," expressing concern that "an increase in the minimum wage could become a shortcut to mutual destruction for small business owners and workers."

Furthermore, they emphasized, "Small business owners are already pushed to the brink to the extent that even the current minimum wage (9,620 won) is difficult to bear," and stressed, "If the Minimum Wage Commission decides to raise the minimum wage even by 10 won, it is no different from telling all small business owners to close their shops."

Finally, they reiterated their call to "freeze the 2024 minimum wage, taking into comprehensive consideration the rapid 48.7% increase in the minimum wage over the past six years."

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