Minimum wage talks enter final stretch as public interest members weigh in

Negotiations between labor and management over next year's minimum wage have entered their final stage.

The two sides have exchanged four rounds of revised proposals, narrowing the gap to 1,290 won, but significant differences remain.

The Minimum Wage Commission will hold its 12th plenary session Tuesday at the Government Sejong Complex to deliberate on the minimum wage for 2027.

The commission comprises 27 members — nine each representing workers, employers and the public interest. Typically, labor and management submit initial proposals and gradually close the gap through successive revisions. When the gap proves difficult to bridge, the public interest members may introduce a "deliberation facilitation range" — an upper and lower bound — to guide the parties toward an agreement or a vote.

As of now, labor is seeking an hourly wage of 11,700 won ($8) while management has proposed 10,410 won. The gap stood at 1,680 won when both sides submitted their opening bids and has narrowed to 1,290 won after four rounds of revisions, but the distance remains considerable.

Labor opened negotiations by demanding 12,000 won per hour — 16.3 percent above this year's minimum wage of 10,320 won — while management proposed a freeze. Since then, labor has gradually scaled back its demands and management has offered modest raises in successive counterproposals.

The legal deliberation deadline passed June 29, but the commission must submit its recommended minimum wage to the Employment and Labor minister by mid-July to allow time for required administrative procedures, including the official gazette notice.

Observers inside and outside the labor community expect Tuesday's session to feature fifth and sixth rounds of revised proposals before the public interest members decide whether to introduce a deliberation facilitation range. If negotiations accelerate, the minimum wage for next year could be finalized through a labor-management agreement or a vote before the week is out.