Average annual salary rose to 32.81 million won in 2015

By Choi Sung-jin

Korean workers’ annual salary rose to 32.81 million won ($28,880) on average last year, up 470,000 won, or 1.5 percent from 2014, the Federation of Korean Industries reported.

Median yearly income from wages was 25 million won, while the average yearly salary of the top-10 percent of workers reached 64.32 million won. The FKI has made its analysis of annual salary by income class by using the data of the Ministry of Employment and Labor.

According to the analysis, the annual salary of the top-20 percent of workers was 46.25 million won or more, the top-30 percent was 36.40 million won or more, the top-40 percent was 30 million won or more and the top-50 percent was 25 million won or more.

The average yearly income of regular workers at large businesses came to 65.44 million won, putting them in the top 9.5 percent of the income class. That of regular workers at small to midsize businesses was 33.63 million won, putting them in the top 34.1 percent.

The number of workers who received 100 million won or higher a year totaled 390,000, or 2.7 percent of the total number of workers, those who made 80 million to 100 million won came to 410,000 (2.8 percent), 60 to 80 million won, 960,000 (6.5 percent), 40 to 60 million won, 2.03 million (13.8 percent), 20 to 40 million won, 5.54 million (37.7 percent), and less than 20 million won, 5.35 million (36.5 percent).

“Despite some unfavorable factors at home and abroad, including China’s economic slowdown and the slump in domestic demand, workers’ annual salaries rose last year compared with 2014,” said Song Won-keun, head of FKI’s Economic Headquarters. “Particularly, the yearly salaries of regular workers at large companies rose relatively more steeply, widening the income gap between workers at large and small businesses.”

Pointing out that full-time workers at large enterprises, who belong in the top-10 percent of the annual salary scale, have entered into industrial actions, Song said, “If workers at prime contractors go on strike and stop their manufacturing lines, its ripple effects will spill over to their subcontractors, hurting numerous workers who are in the bottom-20 percent in yearly income.”