South Korea raises minimum wage by 2.5%, lowest in 3 years

South Korea has decided to raise the minimum wage by 2.5 per cent in 2024, the lowest hike in almost three years amid slowing growth and high inflation.

The country’s Minimum Wage Commission will raise the hourly wage to 9,860 won ($7.80) next year, up from 9,620 won this year. The figure was decided upon following a 110-day long discussion, the most number of days the commission has ever taken to reach an agreement.

It will be the smallest increase since 2021 when the wage was raised by a record low of 1.5 per cent amid the COVID-19 pandemic.

The new minimum wage will take effect on January 1, 2024.

With inputs from agencies