The government has launched a fact-finding survey to apply "minimum compensation" to new forms of employment such as delivery drivers and tutoring instructors. Previously, the expansion of minimum wage coverage was repeatedly rejected by the Minimum Wage Commission; however, the government plans to consider introducing a separate minimum compensation system for contract-based workers instead of extending the existing minimum wage.
According to the government on the 9th, the Ministry of Employment and Labor recently commissioned a research project titled "Fact-Finding Survey for Reviewing and Designing the Introduction of a Minimum Compensation System." This initiative aims to conduct concrete fact-checking to establish a protective system that can guarantee compensation at or above a certain level for new forms of employment.
The Ministry of Employment and Labor plans to examine income levels by occupation, methods of determining compensation, and cost-bearing structures for occupations prioritized for the introduction of the minimum compensation system. The initial list of occupations under review is expected to include riders (delivery and courier), home-based workers, designated driver operators, caregivers and domestic service providers, after-school instructors, and visiting tutoring instructors.
A survey targeting approximately 1,000 respondents will be conducted through questionnaires, labor provision records, and compensation statements to ascertain the actual income levels of contract-based workers. Additionally, the ministry will assess labor provision time—including waiting and travel time—and work-related expenses to determine how hourly wages compare to the minimum wage.
Last month, the government also initiated a research project titled "Study on the Introduction of Minimum Compensation for New Forms of Employment." Through this study, it plans to define the scope of subjects eligible for minimum compensation, evaluate the necessity of protection, assess applicability, and analyze market impacts. The ministry will also establish criteria for calculating minimum compensation that comprehensively consider labor provision structures and job characteristics.
Based on the results of the commissioned research, the Ministry of Employment and Labor plans to consider applying a separate minimum compensation system to platform workers and others.
The question of whether to expand the application of minimum wage to platform workers has been under discussion at the Minimum Wage Commission since 2024. While worker representatives have argued that platform workers should be recognized as employees and thus entitled to minimum wage, discussions failed to pass the commission's threshold due to practical difficulties in implementing the system and opposition from employer representatives.
Expanding the scope of minimum wage application would also require amendments to the Labor Standards Act or the Minimum Wage Act. Therefore, rather than expanding the minimum wage itself, the Ministry of Employment and Labor plans to consider establishing separate minimum compensation standards through implementation guidelines and applying them to platform workers and others.
A ministry official stated, "This is not about rigid legal frameworks but rather a review of introducing a compensation system that guarantees a minimum level of pay," adding, "The decision will be made after undergoing public deliberation processes involving stakeholders."
in ECONOMY
