Minimum wage rises, but the bigger fight is over who pays

South Korea's decision to raise the hourly minimum wage by 3.7 percent to 10,700 won ($7.19) immediately drew familiar criticism from both labor unions and business groups following the Minimum Wage Commission's vote Tuesday night.

But this year's negotiations again raised a broader question over whether the minimum wage alone can protect low-income workers without placing disproportionate pressure on small business employers.

Korea has increasingly relied on the minimum wage as a tool of social ...