Anchor: South Korea's finance minister says discussions should begin over raising the legal retirement age, which is currently set at 60 years old. He also said that minimum wage hikes next year should be kept to a minimal level. 
Celina Yoon has more. 

Report: South Korea's working age population, which began to fall two years ago, will contract more severely beginning next year, boding ill for the prospects of future economic growth.

Appearing on a KBS TV program Sunday morning, Finance Minister Hong Nam-ki said that faced with such realities, South Korea should discuss raising the legal retirement age above the current mark of 60 years old.

[Sound bite: Finance Minister Hong Nam-ki (Korean)]
"To cope with such demographic change, I think it is time that society start discussing raising the retirement age."

However, the effects such a move may have on the job market -- particularly youth employment -- remains uncertain. Raising the retirement age, and thus delaying the exit of senior workers from the labor force, could reduce opportunities for those on the other end.

The youth unemployment rate in South Korea is already high, and there are concerns that raising the retirement age would exacerbate challenges faced by young entrants to the workforce.

The finance minister, however, says such concerns have already been taken in to account.

[Sound bite: Finance Minister Hong Nam-ki (Korean)]
"The government is reviewing ways to extend the retirement age [of senior citizens] to raise their contribution to the workforce, but still make sure that there is no impact on younger workers. There are also experts that say jobs for younger workers don't overlap with those for senior citizens." 

He said he completely disagrees with some analysts that say the South Korean economy is currently in crisis. He said the economy will improve in the latter part of the year. 

The finance minister also said that the pace of minimum wage growth for next year should be kept to a minimal level. 

South Korea hiked the minimum hourly wage by 16-point-four percent to seven-thousand-530 won in 2018, which was followed by another ten-point-nine percent hike to eight-thousand-350 won this year. 

Though raising the minimum wage was a key campaign pledge for President Moon Jae-in, his administration has signaled it may adjust the rate of future increases to mitigate job losses in some sectors of the economy. 

[Sound bite: Finance Minister Hong Nam-ki (Korean)]
"The minimum wage seems to have affected some vulnerable economic sectors. In this regard, I think the pace of the minimum wage hike should be adjusted." 

Meanwhile, Hong dismissed rumors of a currency redenomination, saying clearly no such plan is in the works.
Celina Yoon, KBS World Radio News.