President Moon Jae-in said Monday that raising the minimum wage is absolutely necessary to ease extreme income inequality and allow for a humane life for low-wage workers.

He said that the higher minimum wage policy can swiftly take root when side effects and corporate difficulties are minimized in the implementation process.

Chairing a meeting of his top aides on Monday, the president said the minimum wage hike may be controversial in the beginning but over the long term, it will contribute to the South Korean economy growing healthier and maintaining sustainable growth.

But he said there can be short-term difficulties for small-scale business people or small firms where increased labor cost can lead to decreased hires, and called for appropriate countermeasures.