Next year’s minimum wage was finalized at 9,160 won an hour, 5.05% higher than this year, as it was determined by the Minimum Wage Commission.

On August 5, the Ministry of Employment and Labor posted a notice in its newsletter that the minimum wage for 2022 was finalized at 9,160 won an hour. The new minimum wage will be applied beginning January 1, 2022.

Based on an hourly wage of 9,160 won, if a worker works a designated 40 hours a week (including weekly paid leave, 209 hours a month), she will receive a monthly salary of 1,914,440 won. The same minimum wage will be applied at all workplaces, regardless of industry.

Labor and management had different views on stating the monthly wage along with the hourly wage and on applying the same minimum wage to all workplaces during the meeting of the Minimum Wage Commission, but eventually the commission unanimously agreed to state the hourly and monthly wages together in a meeting on June 22. As for applying different minimum wages in different workplaces, the issue was put to a vote in a meeting on July 12, but it was dropped after 15 members voted against it, 11 in favor, and one abstained.

Earlier, on July 12, the Minimum Wage Commission set next year’s minimum wage at 9,160 won, 440 won (5.05%) more than this year’s minimum wage (8,720 won).

The labor ministry announced its plans to apply the new minimum wage in 2022 and received objections until July 29. During this period, labor had no objections, but management (Korea Enterprises Federation, Korea Federation of SMEs (KBIZ), Korea Federation of Micro Enterprise) submitted three objections. The labor ministry said, “We decided not to accept the objections after comprehensively considering the specific regulations and purpose of the Minimum Wage Act and the review and decision-making process of the Minimum Wage Commission.”

Labor Minister An Kyung-duk said, “We respect the fact that the Minimum Wage Commission did its best to make a decision after a comprehensive consideration of domestic and international economic conditions and employment status, as well as the challenges faced by low-wage workers and small business owners, in a complex situation with expectations for an economic recovery and the continuing effects of COVID-19.”