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Minimum Wage System

Determination of minimum wage

Criteria for Determination

  • The cost of living of employees, the wage of similar employees, the labor productivity, the distribution of income, etc

Process of minimum wage deliberation and determination

Please check the text below. Please check the text below.
  1. ① Request for deliberation of minimum sage(by March 31)
  2. ② Plenary session Presentation
    - Refer it to the corresponding Committees
  3. ③ Analysis of basic data for deliberation and Listening to opinions
    • 1. Analysis of basic data for deliberation
      • Wage status analysis
      • Living costs analysis
      • Effect of application on minimum wage analysis
      • Minimum wage system of foreign countries analysis
      • Essential labor economic indiactors analysis
    • 2. Listening to opinions
      - Implementation of field visits or other works
  4. ④ Technical Committee discussion
    • 1. Technical Committee on wage level
      • Review of wage status analysis result
      • Review of effect of application on minimum wage analysis result
      • Review the minimum wage proposal
    • Technical Committee on Living Costs
      • Review of living costs analysis result
      • Review of the cost of living submitted by labor and management organizations
  5. ⑤ Plenary Session
    - deliberation and determination
  6. ⑥ Submit the minimum wage proposal (within 90 days from the date of request for deliberation of the minimum wage)
  7. ⑦ Announce the minimum wage proposal
    ⑦-1 Request for re-deliberation (in case the objection is accepted, within 20days from the date of arrival to the proposed minimum wage proposal)
    Employees and Employers may file a objection(within 10 days from the announcement)
    Where it is difficult to determine the minimum wage in acco-dance with the minimum wage proposal
  8. ⑧ Announce the minimum wage (by August 5)

Reference: 「Minimum Wage Act」 Article 4