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Minister faces criticism over parliamentary testimony
South Korea’s Rebuilding Korea Party criticized Small and Medium Enterprises and Startups Minister Lee So-young on the 10th over remarks about setting different minimum wages for different industries. Lee responded the same day, saying her comments had been taken out of context and that she has long opposed such a system.
During a National Assembly audit hearing on the 7th, People Power Party lawmaker Cho Ji-yeon asked Lee about labor costs facing small-business owners and the possibility of varying the minimum wage by industry. Lee said the issue “requires consideration” and described the broader dispute as a conflict between two vulnerable groups: low-wage workers and struggling small-business owners. Lee also acknowledged concerns that higher labor costs could force some owners of very small businesses to operate without employees.
The labor committee of the Rebuilding Korea Party, a minor opposition party, called Lee’s response “a step backward.” It argued that reviving a proposal already rejected through an official review process would undermine the purpose of the minimum wage system and encourage a retreat in labor protections.
Proposal was rejected in June
South Korea’s Minimum Wage Commission voted in June against applying different minimum wages by industry. The proposal received 11 votes in favor and 14 against, with one invalid ballot.
The Rebuilding Korea Party committee said such a policy would institutionalize discrimination among workers and entrench low pay. It warned that women and young people, who make up significant shares of the workforce in vulnerable sectors, could face disproportionate harm.
The committee also said lowering wages would pit workers against small-business owners instead of addressing structural problems affecting both groups. It urged the government of President Lee Jae Myung and the Ministry of SMEs and Startups to abandon the rejected proposal.
Opposition also came from within Lee So-young’s Democratic Party. Lawmaker Kim Yong-min said on the 8th that the minimum wage should not become a different “price tag for labor” in each industry. Kim argued that the government should provide more support to distressed sectors rather than reduce their minimum wages.
Lee says remarks were mischaracterized
In a Facebook post on the evening of the 10th, Lee said critics should have reviewed her full testimony before issuing statements. Although she recognizes the difficulties facing small-business owners, Lee wrote, she has long expressed opposition to industry-specific minimum wages.
Lee said the opposition lawmaker questioning her at the hearing had referred to her previous warnings about the stigma that could attach to industries assigned lower wage floors. Anyone who watched the full exchange would have understood that she did not support the proposal, Lee said.
The minister argued that the phrase “requires consideration” had been highlighted in a way that distorted her position. Lee said it was regrettable that political parties and lawmakers had relied on shortened news headlines to portray her as supporting differentiated minimum wages. She also released records of her previous remarks on the issue.
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