A trilateral committee of labor, management and government representatives decided Thursday to raise the country’s minimum wage by 8.1 percent to 6,030 won ($5.33) per hour for next year. About 3.4 million workers on low incomes are expected to be affected by the pay increase, which will be steeper than this year’s 7.1 percent hike.

The decision came 10 days after the legal deadline set for June 29. Labor representatives walked out of a vote on the compromise suggested by government-appointed members.

The labor representatives initially demanded a 79.2 percent increase, while the management proposed a freeze. Both sides put forward some modified proposals that failed to bridge the gap between their stances.

Labor groups complain that 6,030 won per hour is still insufficient to support the livelihoods of low-income workers and to narrow the widening wage gap in the country. The management’s express concern that an 8.1 percent raise ― the highest since 2008 when the minimum wage rose by 8.3 percent ― will put excessive burden on employers, especially small companies struggling with tough economic conditions in the wake of the Middle East respiratory syndrome outbreak and the Greek debt crisis. In a recent survey of small businesses, nearly half of them said they would be forced to cut their payrolls if the minimum wage was lifted above 6,000 won.

True, it is never easy to agree on an optimal minimum wage that can satisfy both employers and employees.

From the wider economic viewpoint, it may be right to take a more positive approach to raising the minimum wage and overall pay for workers. Concern has been growing that the slowing pace of wage increases is reaching a point at which it will further dampen the sluggish growth of the Korean economy. Increasing the minimum wage is also needed to improve income distribution in the country. The minimum wage remained at 36 percent of the average pay for employees in Korea last year, compared to 60 percent in the European Union and the 50 percent level recommended by the Organization for Economic Cooperation and Development.

Given deteriorating business conditions and stable price indexes, however, more serious consideration might have to be given to corporate demand for a more moderate increase in the minimum wage for next year. In the face of worsening profitability, most of the small companies with less than 30 employees will hardly be able to pay the 2.7 trillion won in total additional wages for their workforces. Low inflation, which has remained below 1 percent in recent quarters, also offers some room for decelerating the pace of increase in the minimum wage.

It was undesirable that government policymakers and politicians affected this year’s wage negotiations in an excessive manner by suggesting the increase rate should exceed a certain level.

What they need to focus on is to work out reasonable and specific standards for setting the minimum wage at a level that enables low-paid workers to sustain their livelihoods without driving their employers into a financial pinch. Detailed standards would help reduce the room for habitual labor-management wrangling followed by government-appointed representatives’ suggestion of a compromise that satisfies neither side.

It is also important to ensure that the current minimum wage rule is observed by all workplaces. About 2.27 million employees are estimated to be paid less than the minimum wage. Under current economic circumstances, it may be more helpful for low-paid workers that the minimum wage is set at a reasonable level and government supervision over its implementation is tightened.