Professor Soon-Won Kwon, Sookmyung Women's University, secretary of the Public Interest Committee of the Minimum Wage Commission, said in the process of determining the minimum wage for next year, the economic crisis caused by the new coronavirus infection (Corona19) and the retention of low-wage workers were considered as the most important factors.

Professor Kwon held a reporter's meeting immediately after the resolution of the next year's minimum wage at the government office in Sejong, and said to the related question, "When presenting the proposal of the public interest committee, the economic crisis and uncertainty were considered as the most important factors." "Even though income is important, we decided that jobs were the most important basis."

He continued, "In uncertain circumstances, the first cost that companies adjust was the labor force, and they judged that the labor market's job-reducing effect, which could be caused when the minimum wage rises above expectations, has a much greater negative impact on workers' livelihoods." .

He added that the next year's minimum wage increase rate of 1.5% is the result of summing up this year's economic growth forecast (0.1%), this year's consumer price inflation forecast (0.4%), and workers' livelihood improvement (1.0%).

At the 9th meeting held by the Minimum Wage Commission on the morning of this day, the public interest committee members proposed a 1.5% increase plan (8,720 won per hour) of the minimum wage for next year, and the vote was adopted as the minimum wage for the next year.

This is the lowest rate of increase since 1988, when the nation's minimum wage system was first implemented.

"I think the labor, management, and public interest committees have done their best to gather wisdom to overcome the tremendous crisis situation that we must overcome nationally, as we all know now," said Park Jun-sik, the minimum wage chairman.

Chairman Park pointed out that the rate of increase in the minimum wage for next year is lower than that of the International Monetary Fund (IMF) crisis of 1998 (2.7%). "It's a little overwhelming to compare flat."

"Each of the nine public interest committee members was faithful to their professionalism and public interest missions and made independent decisions without any influence from beginning to end," he said.

(Yonhap News, Photo = Yonhap News)