The Korea Chamber of Commerce and Industry on Monday called for clear regulations on the scope of “ordinary wages,” citing the concept’s vagueness as a key cause of confusion in workplaces.
According to a KCCI report submitted to the government, ordinary wages in Germany and Britain are decided during independent negotiations between management and labor.
Meanwhile, the U.S. law doesn’t include bonuses as part of ordinary pay, while Japan’s more detailed legal regulations rule out fundamental confusions.
“But in Korea there are no clear rules,” said the report delivered ahead of a pending court ruling on whether or not bonuses and various allowances should be considered part of regular wages.
All businesses and laborers are paying keen attention to the ruling likely to come later this month, as it is expected to affect the nation’s wage system overall, including basic salaries.