Ramesh Shrestha

South Korean government agrees to hike salary by 6 percent
THE South Korean Government, trade unions and management representatives have agreed to increase workers’ hourly minimum wage by 6 percent.

The new wage to be implemented from the next year is a plus point for many Nepali migrant workers working there under the Employment Permit System (EPS). Korea has also amended the law to increase foreign workers’ term from current three years to five years. Under the EPS provision, Nepali workers can work in Korean firms for three years. According to the online edition of Korea Times, the hourly minimum wage has been increased by 260 won to 4,580 won (Rs 307). With this rise, employees who work 40 hours a week will receive at least 957,220 won (Rs 65,000) a month, while the monthly minimum wage for those working 44 hours a week will be about 1.04 million won (Rs 70,000). On Wednesday, the thirteenth meeting of the Minimum Wage Council of Korea had decided to increase the wage. The trilateral council has estimated that an increase in the minimum wage would benefit 2.34 million workers nationwide, who are mostly engaged in simple manual labour. Ramesh Bhattarai, a Nepali worker in Korea, said the new wage would increase migrant workers’ salary by around Rs 4,000 a month. He also said that the Korean Government had amended the law, allowing EPS workers to work for additional two years after completing the three-year term. However it would be mandatory for workers to get approval from employers for the extra term, he added. According to the EPS Nepal Office, there are around 9,000 Nepalis working in Korean firms under EPS. The term of the first lot of workers, who had gone to Korea in 2008, will start expiring after mid-August 2011. The new rule on additional term will be implemented from Aug 1. And, workers wanting to work for extra two years will have to apply to their employers a week prior to the expiration of their terms. Mahesh Acharya, chief of EPS Nepal Office, said the new provision of the Korean Government would benefit many Nepalis working there. He said the work terms of Nepali workers under the EPS provision could be extended if employers want. Next year, Korea is taking 7,100 Nepali workers from Nepal. It is also all set to increase the quota for the next year by 2,000 after witnessing a good track record of Nepali migrant workers. Korean jobs have also become lucrative as they provide much higher salary compared to Gulf countries.

Published on: 1 August  2011 | The Kathmandu Post