Civil servant wages to rise by 6.7%

From this year, civil servants' annual wages will rise by 6.7%. In addition, as supplemental reserves for wage adjustment has been included in the government¡¯s budget, any increase in wages in the private sector during the latter half of the year may further increase civil servant wages by 1.2%. This would correspond to a maximum pay raise of 7.9% for civil servants.

An official from the Civil Service Commission said 200 billion won had been provisioned in order to raise civil servant pay close to private sector levels, in line with the five year civil servant pay realization plan. If the private sector does not raise wages there will be no additional wage increase for civil servants. The bill relating to the amendment of civil servant pay and allowance regulations was passed Dec. 30 last year and came into effect Jan. 1.

According to the bill, the civil servant base salary is to be increased by 5.5%, with 200% (50% per quarter) of the year-end allowance being integrated into the base salary, hence raising gross pay by 6.7%. However, National Assembly members, ministers, vice ministers and class 1 high level officials working at central agencies will return their increased wages taking into consideration the difficult economic situation.

Yang Ki-Dae kee@donga.com