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The Minimum Wage Committee in South Korea is set to hold its third plenary meeting to deliberate on a significant expansion of minimum wage coverage: including platform and contract workers. This discussion marks a pivotal moment for workers in the gig economy, such as delivery riders, ride-sharing drivers, and couriers, who currently operate under contract agreements rather than traditional employment.

The committee will review a government-commissioned study on the feasibility of applying minimum wage regulations to these contract workers. Labor representatives are expected to strongly advocate for the inclusion of these workers, estimating their numbers at around 8.7 million. They argue that without a minimum wage floor, these workers face precarious conditions, often forced to take on excessive work leading to accidents, making it a matter of survival.

Labor unions point to international precedents, noting that countries like the United States and the United Kingdom have already established minimum wage frameworks for platform workers. They propose that earnings can be calculated by assessing compensation for actual work performed, including waiting times, to determine an hourly wage.

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It is not within the authority or role of the Minimum Wage Committee to uniformly determine whether specific job holders are workers.

Conversely, business groups maintain that contract workers are not legally considered employees under the Labor Standards Act. They argue that determining minimum wage applicability for such a diverse group is beyond the committee's authority and practically impossible. Management representatives have reiterated their stance from previous discussions, emphasizing that individual employment status should be assessed case-by-case rather than through a blanket committee decision.

Ahead of the meeting, the Korean Confederation of Trade Unions (KCTU) plans to stage a protest outside the Ministry of Employment and Labor, demanding the introduction of a minimum wage system for contract and platform workers. This highlights the growing tension and the urgent need for a resolution on worker protections in South Korea's evolving labor market.

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There is no minimum wage set for contract workers, leading them to work excessively and resulting in accidents. It is a matter of survival.