FKTU demands 12% wage increase this year

The Federation of Korean Trade Unions (FKTU) said Sunday that a "reasonable" wage increase rate for this year is 12% and that affiliated unions would start wage negotiations from March.

The FKTU worked out the wage increase rate based on last year`s average cost of living, taking into consideration the Bank of Korea`s forecast of a consumer price increase rate of 1.78%. According to the FKTU, the average monthly burden of expenses on the heads of households increased 191,000 won from last year`s figure of 1.59 million won to 1,781,000 won.

Last year, the FKTU`s wage increase guideline was 13.2% and the actual average wage increase at affiliated workplaces was around 8.1%.

The FKTU`s aims in this year`s negotiations are deterring growth in income disparity, bringing an end to annual salaries, achieving job stability and promoting participation in management.