Posted on : Nov.8,2006 16:07 KST Modified on : Nov.9,2006 15:23 KST

Wages for N.K. workers converted to basic staples, such as food

South Korean government authorities confirmed the contents of an article exclusively published by The Hankyoreh on November 7, which said that North Korean workers at the joint Korean Gaeseong (Kaesong) industrial complex have been receiving payment in the form of basic necessities such as food.

Previously, speculation abounded regarding whether the wages of workers at the complex were going directly to the North Korean government or Workers’ Party members.

At a briefing on November 7, Goh Gyeong-bin, head of the ministerial office in charge of the Gaeseong complex, said that he learned the information from Song Young-deung, a Korean-Australian businessman, who had been interviewed by The Hankyoreh for its article.

A joint company combining Song’s Australia-based Lobana Trading Co. and the North Korean agency in charge of wage distribution at Gaeseong imports goods from overseas and redistributes them to workers in the inter-Korean border city based on their wage levels, the ministry said.


Goh said that he could confirm certain unsolved questions from Song. "We will continue to confirm the situation while making consultations with the North Korean authorities about directly paying the North Korean workers," added Goh.

North Korean workers at the complex receive US$41.30 a month on average, and they are paid their wages in either North Korean currency or in the form of necessities, such as food. The workers prefer receiving basic necessities as payment, Goh said.

About 30 percent of the entire payment to the North Korean workers is deducted by the authorities, citing social and labor insurance fees and taxes for public services such as education and medical care. Regarding this, the North Korean authorities explained that the entire amount deducted goes to the Gaeseong city authority for disbursal into the appropriate programs, he added.

[englishhani@hani.co.kr]



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