[Korea] Nearly 1.54 million work ultra-short-term part-time jobs

New analysis has revealed that nearly 1.54 million people in South Korea work part-time jobs, usually less than 15 hours per week, in the wake of a sharp rise in the minimum wage, Pulse reports.

The analysis by Maeil Business Newspaper into data from Statistics Korea was released on July 13. It showed that the number of people in the country working less than 17 hours a week stood at 2.19 million in the first six months of the year, staying above 2 million for a third straight year.

Of these, 1.59 million are reportedly estimated to be working less than 15 hours a week. This is the threshold for hirers not to offer weekly holiday pay.

Industry observers have observed that companies - primarily the self-employed small- and mid-size enterprises under the burden of rising labour costs - prefer to hire short-term part-time workers who are not subject to statutory weekly holiday pay. 

The move is reportedly prompting concerns about the deteriorating quality of employment.

Weekly holiday pay refers to a system where workers are entitled to one paid day off per week if they work more than 15 hours per week.

Currently, the minimum wage stands at 9,620 won ($7.53), an increase of 48.7 per cent since 2017. Including statutory holiday pay, the effective minimum wage already exceeds 10,000 won, amounting to 11,544 won.

The Minimum Wage Commission is now setting next year’s minimum wage. The labour circle is proposing 11,140 won and management 9,740 won.

If the minimum wage is set at the midpoint, the minimum wage, including weekly holiday pay, will reportedly rise to 12,528 won next year.

Lee Jung-min - a professor at Seoul National University - told Pulse, “If the minimum wage is raised excessively, workers with jobs can benefit from the wage increase, but those without jobs will suffer.” 

Source: Pulse

(Quote via original reporting)

New analysis has revealed that nearly 1.54 million people in South Korea work part-time jobs, usually less than 15 hours per week, in the wake of a sharp rise in the minimum wage, Pulse reports.

The analysis by Maeil Business Newspaper into data from Statistics Korea was released on July 13. It showed that the number of people in the country working less than 17 hours a week stood at 2.19 million in the first six months of the year, staying above 2 million for a third straight year.

Of these, 1.59 million are reportedly estimated to be working less than 15 hours a week. This is the threshold for hirers not to offer weekly holiday pay.

Industry observers have observed that companies - primarily the self-employed small- and mid-size enterprises under the burden of rising labour costs - prefer to hire short-term part-time workers who are not subject to statutory weekly holiday pay. 

The move is reportedly prompting concerns about the deteriorating quality of employment.

Weekly holiday pay refers to a system where workers are entitled to one paid day off per week if they work more than 15 hours per week.

Currently, the minimum wage stands at 9,620 won ($7.53), an increase of 48.7 per cent since 2017. Including statutory holiday pay, the effective minimum wage already exceeds 10,000 won, amounting to 11,544 won.

The Minimum Wage Commission is now setting next year’s minimum wage. The labour circle is proposing 11,140 won and management 9,740 won.

If the minimum wage is set at the midpoint, the minimum wage, including weekly holiday pay, will reportedly rise to 12,528 won next year.

Lee Jung-min - a professor at Seoul National University - told Pulse, “If the minimum wage is raised excessively, workers with jobs can benefit from the wage increase, but those without jobs will suffer.” 

Source: Pulse

(Quote via original reporting)