(2nd LD) Two-thirds of small biz owners call for freeze of minimum wage: poll

(ATTN: ADDS latest info in 5th para) SEOUL, June 26 (Yonhap) -- Nearly two-thirds of self-employed small business owners say their business conditions have worsened this year and are calling for the minimum wage to be frozen or lowered, a poll showed Thursday. According to the survey conducted by the Federation of Korean Industries (FKI), 63.4 percent of 500 respondents said their business conditions have deteriorated compared with last year. Only 6.8 percent said they have improved, while 29.8 percent said their conditions remained about the same. On the level of burden caused by the current minimum wage of 10,030 won (US$7.37) per hour, 50 percent of the respondents said it was heavy, 30.6 percent said it was moderate, and 19.4 percent said it was not a burden. The Minimum Wage Commission, a trilateral panel composed of representatives from labor, management and the general public, has been in negotiations since April over the national minimum hourly wage for 2026. Later Thursday, labor representatives demanded a 14.7 percent hike to 11,500 won, while the management circle proposed a 30 won increase, reversing its initial proposal to freeze the wage. This file photo, taken April 18, 2025, shows a shopping complex with small restaurants in central Seoul. (Yonhap) By industry, businesses in lodging and food services felt the most burden, at 64.2 percent, followed by wholesale and retail at 51.9 percent, education services at 50 percent and manufacturing at 48.4 percent. When asked about the minimum wage, 59.2 percent said it should be frozen or reduced. Support for freezing the minimum wage stood at 44.2 percent, while 15 percent called for a reduction. Also, 30.4 percent of respondents said they earn less than the current statutory minimum wage, which amounts to roughly 2.1 million won per month based on the standard 40-hour workweek system. An FKI official said a cautious approach is needed when determining next year's minimum wage and stressed the need to consider employers' ability to pay and overall labor market conditions. odissy@yna.co.kr(END)

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(ATTN: ADDS latest info in 5th para)

SEOUL, June 26 (Yonhap) — Nearly two-thirds of self-employed small business owners say their business conditions have worsened this year and are calling for the minimum wage to be frozen or lowered, a poll showed Thursday.

According to the survey conducted by the Federation of Korean Industries (FKI), 63.4 percent of 500 respondents said their business conditions have deteriorated compared with last year. Only 6.8 percent said they have improved, while 29.8 percent said their conditions remained about the same.

On the level of burden caused by the current minimum wage of 10,030 won (US$7.37) per hour, 50 percent of the respondents said it was heavy, 30.6 percent said it was moderate, and 19.4 percent said it was not a burden.

The Minimum Wage Commission, a trilateral panel composed of representatives from labor, management and the general public, has been in negotiations since April over the national minimum hourly wage for 2026.

Later Thursday, labor representatives demanded a 14.7 percent hike to 11,500 won, while the management circle proposed a 30 won increase, reversing its initial proposal to freeze the wage.

This file photo, taken April 18, 2025, shows a shopping complex with small restaurants in central Seoul. (Yonhap)

By industry, businesses in lodging and food services felt the most burden, at 64.2 percent, followed by wholesale and retail at 51.9 percent, education services at 50 percent and manufacturing at 48.4 percent.

When asked about the minimum wage, 59.2 percent said it should be frozen or reduced. Support for freezing the minimum wage stood at 44.2 percent, while 15 percent called for a reduction.

Also, 30.4 percent of respondents said they earn less than the current statutory minimum wage, which amounts to roughly 2.1 million won per month based on the standard 40-hour workweek system.

An FKI official said a cautious approach is needed when determining next year’s minimum wage and stressed the need to consider employers’ ability to pay and overall labor market conditions.

odissy@yna.co.kr
(END)