The retirement ages of 89 workers in eight companies, for which the government has provided subsidy this year to preserve their wage levels under the wage peak system, are extended from 55~58 to 58~60.
It is also found that the wage peak system is introduced more actively among small and medium-sized companies than large companies. In Korea Rural Community and Agriculture Corporation in Anyang-si, which has implemented the wage peak system since last year, the retirement age has been increased by two years from 58 to 60, benefiting 62 aged workers.
If a company cuts the wages of workers aged 54 or over by more than 10% under the wage peak system, the government subsidizes 50% of the cut amount for up to six years. This subsidy system has begun to be implemented this year. According to the Ministry of Labor, the number of companies implementing the wage peak system was about 30 (830 or so workers) in May.
It is estimated that around 20 companies (740 or so workers) have yet to apply for the subsidy. If you want to apply for this subsidy and receive related counseling service, please contact an employment security center of the Ministry of Labor (tel. 1588-1919)