South Korea's minimum wage set to surpass Tokyo's

Agreed-on 2.5% hike is much smaller than 27% sought by labor

Ordering on a touch panel at restaurants and stores has become more commonplace in South Korea as the minimum wage has gone up. (Photo by Ahn Seong-bok)

KOTARO HOSOKAWA, Nikkei staff writer

July 20, 2023 10:54 JST

SEOUL -- South Korea will raise its nationwide minimum wage for 2024 by 2.5% to 9,860 won ($7.80) per hour, enough to surpass Tokyo's minimum wage under current exchange rates.

A 9,860 won minimum wage converts to 1,086 yen ($7.83), exceeding Tokyo's current minimum wage of 1,072 yen ($7.68) per hour. The hike is half the size of the 5% boost in 2023, as concerns persist over an economic slowdown.