2026 Minimum Wage in Korea: Hourly Rate, Monthly Salary & Violation Cases Explained

What Is the 2026 Minimum Wage in Korea?

The 2026 minimum wage is ₩10,320 per hour. Based on a 40-hour workweek (209 hours per month), this converts to ₩2,156,880 per month. Article 6 of the Minimum Wage Act (최저임금법 제6조) requires employers to pay wages at or above the minimum wage amount. Violations are punishable by up to 3 years of imprisonment or a fine of up to ₩20 million under Article 28 of the Minimum Wage Act (최저임금법 제28조).

Note for foreign workers: Your employment contract may specify wages above this statutory minimum, but it cannot lawfully go below it.

Wages Compared Against the Minimum Wage: What's In and What's Out?

Article 6, Paragraph 4 of the Minimum Wage Act (최저임금법 제6조 제4항) lists the items excluded from the wages used for comparison against the minimum wage.

• Excluded items: Wages not paid every month (e.g., bonuses paid quarterly or annually), allowances for work beyond scheduled hours (overtime, night-shift, and holiday work allowances), and welfare benefits provided in kind (meals, lodging, etc.) — welfare-type allowances such as meal subsidies and transportation allowances have been fully included since 1 January 2024 if paid in cash on a regular basis at least once a month (between 2019 and 2023 only part of them was included, phased in step by step; Article 6(4) of the Minimum Wage Act and Article 2 of the Addenda to Act No. 15666, 최저임금법 제6조 제4항 · 최저임금법 부칙(법률 제15666호) 제2조)
• Included items: Basic salary, job-duty allowances, position allowances, and other fixed pay disbursed regularly every month

The Supreme Court (2006다64245) held that seniority allowances and weekly holiday allowances (주휴수당) must be included in the wages compared against the minimum wage. The Court also made clear that any agreement to make up a minimum-wage shortfall using allowances that are not counted toward the minimum wage is void.

Reducing Scheduled Work Hours on Paper Is an Evasion Tactic

Some workplaces — particularly in the taxi industry — have tried to reduce the minimum wage burden by keeping actual working hours the same while reducing only the scheduled work hours (소정근로시간) stated in the work rules. Because a shorter scheduled-hours figure lowers the total minimum wage amount owed on an hourly basis, this tactic artificially reduces the employer's obligation.

The Supreme Court has consistently treated such attempts as unlawful evasion (탈법행위):

• 2024다206166·206173: An agreement that reduced scheduled work hours on paper while leaving actual working hours unchanged was ruled void as an evasion tactic.
• 2023다206138: Setting scheduled work hours significantly shorter than actual working hours for the purpose of evading the Minimum Wage Act is void, and the court must itself determine the appropriate scheduled work hours.
• 2015도676: The same type of evasion was recognized, but the case was remanded because the legal dispute was sufficiently ambiguous that criminal intent on the employer's part could not be established.

All-Inclusive Wage Contracts and the Minimum Wage

Even if you have signed an all-inclusive wage contract (포괄임금계약), you cannot be excluded from minimum wage protection. The Supreme Court (2020다300299) held that if wages paid under an all-inclusive contract fall below the minimum wage, the contract becomes void, and the basic wage must be calculated by working backwards from the monthly salary before assessing whether the minimum wage has been violated. Additionally, the Supreme Court (2018도965) held that in an all-inclusive wage contract, all actual working hours cannot be treated as scheduled work hours; only hours within the standard working hours under the Labor Standards Act (근로기준법) may be recognized as scheduled work hours.

Minimum Wage for Taxi Drivers and Piece-Rate Workers

Even taxi drivers who voluntarily chose a piece-rate (도급제) employment contract are entitled to receive the minimum wage in the form of a fixed salary, separately from any excess transport revenue, under the special provisions of the Minimum Wage Act (대법원 2016다9261·9278). An employer's claim that enforcing the minimum wage violates the principle of good faith (신의성실원칙) will not be accepted unless there are special circumstances that justify circumventing the Minimum Wage Act as a mandatory statute (강행규정).

What Should You Do If the Minimum Wage Is Violated?

If you have not been paid the minimum wage, you can file a complaint (진정) with the regional office of the Ministry of Employment and Labor (고용노동부 지청) that has jurisdiction over your workplace. Unpaid wages accrue a delay interest of 20% per year under Article 17 of the Enforcement Decree of the Labor Standards Act (근로기준법 시행령 제17조).

Before filing, if you want to check whether your wages meet the minimum wage standard, you can use the salary take-home calculator at Workbear (workbear.kr). It lets you instantly check your actual take-home pay after the four major insurance deductions and whether the minimum wage is being met. If you are unsure how to write a complaint, an AI complaint-drafting feature is also available.

This article is for informational purposes only and does not constitute legal advice. For specific cases, consult a certified labor attorney (노무사) or lawyer.