The government has decided to front-load a record high portion of job-related budget in the first half of this year partly to help reduce the negative impact of the minimum wage hike on the economy. 

The Ministry of Strategy and Finance plans to spend around six-point-eight trillion won worth of budget for job creation initiatives in the January-June period. 

It is tantamount to 63-point-five percent of the ten-point-seven trillion won earmarked for urgent job programs this year. It is unprecedented for the government to execute such a high portion of the jobs budget in the first half. 

The move is intended to ease small business owners’ burdens arising from a significant minimum wage rise this year of 16-point-four percent from last year. 

The government hopes early budget execution will also help ease high levels of youth unemployment and reduce uncertainty surrounding the country’s labor market.