Report on the Gender Wage Gap in South Korea (2024) and its Implications for Sustainable Development Goals

1.0 Executive Summary

A 2024 analysis of corporate data in South Korea, conducted by the Ministry of Gender Equality and Family, reveals a significant widening of the gender wage gap. The findings indicate a substantial regression in achieving gender equality and decent work, directly challenging the principles of several Sustainable Development Goals (SDGs), most notably SDG 5 (Gender Equality) and SDG 8 (Decent Work and Economic Growth). This report outlines the key statistics, sectoral disparities, and contributing factors, while framing the government’s proposed countermeasures within the context of the global 2030 Agenda for Sustainable Development.

2.0 Key Findings on Wage Disparity

The analysis of 2,980 corporate reports highlights a concerning trend in gender-based pay inequality, undermining SDG Target 8.5, which calls for equal pay for work of equal value.

• Overall Wage Gap: The gender pay gap increased to 30.7% in 2024, a rise of 4.4 percentage points from 26.3% in 2023.
• Average Earnings: Male employees earned an average of 97.8 million won, whereas female employees earned an average of 67.7 million won.
• Wage Decline: While average wages declined for both genders, the decrease was significantly steeper for women (6.7%) compared to men (0.8%). The ministry attributes this to sharper drops in female-heavy industries like manufacturing and finance.

3.0 Sectoral Analysis and SDG 5 Implications

The disparity varies significantly across sectors, indicating that industry-specific barriers prevent women’s full and effective economic participation, a core component of SDG 5 (Gender Equality).

3.1 Sectors with Largest Disparities

1. Wholesale and Retail: 44.1%
2. Construction: 41.6%
3. Information and Communications: 34.6%

3.2 Sectors with Smallest Disparities

1. Arts, Sports and Leisure Services: 15.8%
2. Accommodation and Food Services: 17.7%
3. Electricity, Gas and Steam Supply: 22.5%

4.0 Contributing Factors and Barriers to Decent Work (SDG 8)

The data points to systemic issues beyond simple wage calculation, including differences in job tenure and other structural factors that impede progress towards decent work for all.

• Job Tenure Gap: Male employees in the private sector have an average tenure of 11.8 years, compared to 9.4 years for women—a 20.9% gap. This disparity in continuous employment is a significant barrier to career advancement and higher pay for women.
• Structural Factors: The ministry noted that even with smaller tenure differences, the pay gap widened, suggesting that other variables such as rank, job type, and employment status are critical drivers of inequality.

5.0 Comparative Analysis: Public vs. Private Sector

A comparison between public and private institutions reveals differing trajectories in addressing gender inequality, with the public sector demonstrating more positive alignment with SDG principles.

• Public Sector: An analysis of 344 state-run organizations showed a wage gap of 20.0%, a decrease from 22.7% in 2023. The tenure gap also narrowed significantly from 29.0% to 19.9%.
• Private Sector: The private sector’s widening gap contrasts sharply with the public sector’s progress, indicating a need for targeted policies to encourage private companies to adopt practices that support SDG 5 and SDG 8.

6.0 Proposed Government Initiatives for SDG Alignment

In response to the findings, the Ministry of Gender Equality and Family plans to implement measures aimed at improving data reliability and promoting corporate accountability, which are essential for achieving measurable progress on the SDGs.

1. Enhanced Data Analysis: Future analyses will incorporate additional variables such as age, position, career breaks, and job characteristics to provide a more accurate and comprehensive understanding of the pay gap’s root causes.
2. Mandatory Wage Disclosure System: The ministry will advocate for a system requiring companies to publish gender-disaggregated pay data. This policy promotes transparency and accountability, creating pressure for companies to address internal inequalities and contribute actively to national and global gender equality targets.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 5: Gender Equality

  The entire article is centered on gender-based disparity in the workplace. It explicitly discusses the wage gap between men and women, differences in job tenure, and the systemic factors contributing to these inequalities, which are core issues addressed by SDG 5.

• SDG 8: Decent Work and Economic Growth

  The article’s focus on wages, employment status, and job tenure directly relates to the principles of decent work. The discussion of “equal pay for work of equal value” is a central theme, making SDG 8 highly relevant.

• SDG 10: Reduced Inequalities

  The article highlights economic inequality based on gender. By detailing the wage gap of 30.7 percent and comparing disparities across different sectors (private vs. public), it addresses the broader goal of reducing income and opportunity inequalities within a country.

2. What specific targets under those SDGs can be identified based on the article’s content?

1. Target 5.1: End all forms of discrimination against all women and girls everywhere.

   The persistent and widening gender wage gap, as described in the article, is a clear form of economic discrimination against women. The data showing women’s wages fell “far more steeply” (6.7% vs. 0.8% for men) points to systemic discriminatory factors.

2. Target 5.5: Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision-making in political, economic and public life.

   The article implies barriers to women’s full participation and advancement by noting differences in job tenure (men at 11.8 years, women at 9.4 years) and mentioning that “rank, job type and employment status also play critical roles” in the pay gap. This suggests women may not have equal opportunities for senior, higher-paying roles.

3. Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men… and equal pay for work of equal value.

   This is the most directly relevant target. The article’s central finding that women earn “nearly a third less than men on average” (a 30.7% gap) is a direct contradiction of the principle of equal pay for work of equal value.

4. Target 10.3: Ensure equal opportunity and reduce inequalities of outcome, including by eliminating discriminatory laws, policies and practices and promoting appropriate legislation, policies and action in this regard.

   The Gender Ministry’s plan to “push for a mandatory wage disclosure system” is a direct example of promoting a policy action aimed at reducing inequalities of outcome (the wage gap) by improving transparency and accountability, as called for in this target.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

Yes, the article provides several quantitative and qualitative indicators that can be used to measure progress:

• Gender Pay Gap Percentage: The article explicitly states the overall wage gap was “30.7 percent” in 2024, up from “26.3 percent” in 2023. This percentage is a direct indicator for Target 8.5.
• Average Annual Earnings by Gender: The data provides specific figures for male employees (“97.8 million won”) and female employees (“67.7 million won”). These absolute numbers can be tracked over time to measure progress.
• Sector-Specific Wage Gaps: The article provides indicators for various sectors, such as “wholesale and retail at 44.1 percent” and “arts, sports and leisure services at 15.8 percent,” allowing for a more granular analysis of where inequalities are most severe.
• Gender Gap in Job Tenure: The difference in average years of employment between men (11.8 years) and women (9.4 years), resulting in a “20.9 percent gap,” serves as an indicator for barriers to women’s career longevity and progression (relevant to Target 5.5).
• Public vs. Private Sector Gap Comparison: The article provides a comparative indicator, showing a lower wage gap in public institutions (“20 percent”) compared to the private sector. The decrease from “22.7 percent in 2023” in the public sector shows measurable progress in that area.
• Implementation of Policies: The ministry’s plan for a “mandatory wage disclosure system” can be used as a qualitative, policy-based indicator. Its adoption and enforcement would be a measure of progress towards Target 10.3.

4. Table of SDGs, Targets, and Indicators

Source: koreaherald.com