Private firms agree to raise worker wage next year

Salaries of workers in Korea’s private sector will increase 5.4 percent on average next year, a survey showed yesterday.

According to a survey by Korea Employers Federation, 764 private companies that hire more than 100 workers have agreed to give a 5.4 percent salary hike to workers for next year. The annual growth rate, up 0.2 percentage points from one year ago, represents the highest wage hike since 2007.

By size, companies with 1,000 or more workers planned to give the highest salary increases of 5.5 percent. In terms of industries, retailers aimed to give the biggest salary increase to workers of 5.7 percent. During wage negotiations, the average salary increase advanced by labor unions was 9.1 percent, while employers countered with a 3.7 percent increase for 2012.

The difference between unionists and employers on wage increase was more pronounced this year than last at 5.4 percentage points, up 0.2 percentage points from a year earlier.

Workers with a bachelor’s degree from a four-year university earned a monthly income of 2.42 million won ($2,156) during their first 12 months of employment.

Employees of corporations with more than 1,000 staff members earned 2.71 million in their first 12 months of work.

Yonhap