SEOUL, Dec. 8 (Korea Bizwire) — It is reported that the government is considering the introduction of a “compound” salary scheme for state-run enterprise employees. It intends to apply a different salary scheme depending on the years of service for each employee.
For example, it will grant the usual seniority wage scheme to those newly hired employees, followed by the performance pay scheme, and lastly the wage peak scheme for years before retirement.
One recommendation was that the three different schemes are to be applicable to those employees whose years of service are up to 10 years, between 10-20 years, and longer than 20 years, respectively. The government is currently consulting with labor experts and unions for feasibility.
To this, a Ministry of Strategy and Finance official said, “Currently we are discussing a variety of issues related to this including closing the gap between regular workers and temporary workers. As of now, however, there is nothing definite.”
By Sean Chung (email@example.com)