Busan Wage Arrears Fall 10.8%, But Per-Worker Losses Rise

Total Unpaid Wages Down 10.8 Percent Per-Worker Damage Rises Instead Cases Concentrated at Workplaces With Fewer Than 30 Employees Labor Groups Call for Real Relief Measures

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By Cho Won-jinbscity@sedaily.com
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A view of the West Busan industrial complex. Photo courtesy of Busan Metropolitan City - Seoul Economic Daily Society News from South Korea
A view of the West Busan industrial complex. Photo courtesy of Busan Metropolitan City

BUSAN — Total unpaid wages in Busan fell in the first half of this year from a year earlier, but the amount owed to each affected worker rose, according to an analysis released on the 22nd. With arrears concentrated at small businesses, labor groups urged authorities to provide substantive remedies.

The Busan chapter of the Korean Confederation of Trade Unions held a news conference in front of the Busan Regional Employment and Labor Office on the 22nd, presenting its report on wage arrears in Busan in the first half of 2026 based on an analysis of disclosure data from the Ministry of Employment and Labor.

A total of 4,905 wage arrear complaints were filed during the period, involving 6,357 affected workers and 49.787 billion won ($35.9 million) in unpaid wages. The total amount fell 10.8% from the same period a year earlier, but the average amount owed per worker rose 5.2% to 7.83 million won.

Arrears were concentrated at small workplaces operating under weak business conditions. Workplaces with fewer than 30 employees accounted for 82.9% of all complaints and 70.9% of the total amount owed.

Unpaid wages uncovered through planned and regular labor inspections also surged. Authorities identified 10.399 billion won in unpaid wages at 529 workplaces, 2.52 times the figure a year earlier.

"Workers who have not been paid are being pushed into a livelihood crisis ahead of the holiday," an official at the union's Busan chapter said. "The labor office must shift the core standard of its administration beyond simply counting violations found, to how quickly workers actually recover the wages owed to them."

Labor groups called for immediate measures, including a full survey of workplaces with repeated arrears, stronger special labor inspections and more inspection staff.

Original reporting by Cho Won-jin for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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