Labor unions, also known as trade unions, reached their peak in the advanced industrial countries of the G7 and Organization for Economic Cooperation & Development (OECD) in the late twentieth century; since the 1980s however, their memberships have declined drastically, in some countries by as much as 50 percent. The labor movement arose in the nineteenth century to represent workers' interests in collective bargaining and to protests against poor wages and work conditions. From their peak in the twentieth century, unions have declined to represent much smaller numbers of workers today, in many countries being active mainly among public sector workers, such as in the United States. The rise and fall of union power In their rise during the twentieth century, labor unions were tightly connected to political parties of social democratic or socialist bent, while also being connected with Christian democrats in some continental European countries. As these parties came to power in the post-WWII period, unions were institutionalized into a system of social partnership with employers and the government in many countries. This agreement minimized labor disputes, while focusing on increasing productivity, which led to a period of unprecedented economic growth. As this system ran up against intractable economic problems in the 1970s, however, parties came to power who pursued a 'neoliberal' agenda of liberalization of the labor market and the privatization of nationalized companies. Since the late 1970s, these policies have caused union membership to decline drastically, as unions could engage in the same level of collective bargaining in a more interconnected and globalized international economy.

In 2023, the average annual wage in South Korea fell to 47,715 U.S. dollars after adjusting for purchasing power parity (PPP). The average salary in South Korea showed a general trend of positive growth within the given period. The monthly wage was projected to reach over 5,400 U.S. dollars in 2040, the highest value among the surveyed countries. Work-life balance South Korea has some of the longest working hours in the world. Although working hours in the country have decreased over the past decade and measures such as flexible working hours have been implemented to promote a better work-life balance, South Korea still ranks among the top five countries with the longest working hours in the Organization for Economic Cooperation and Development (OECD) as of 2022. Many South Koreans tend to prefer working for a company that offers a good work-life balance rather than a company that offers a higher salary. This preference is especially strong among parents. Women in the job market While the employment rate of South Korean women has risen steadily over the past decade, the gender pay gap still exists. On average, female workers earned about 65 percent of their male equivalents’ income in 2022. The average monthly salary in South Korea was around 4.13 million South Korean won for men and about 2.68 million won for women that year.

Japanese households had an average annual income of approximately 5.3 million Japanese yen in 2024, constituting an increase of 1.5 percent compared to the previous year. Stagnant wages and regional income disparitiesHousehold income refers to the combined gross income of all household members aged 15 years and older, regardless of relation. While the average number of household members was 2.25 in 2022, there were only about 1.05 earners per household. A look at the time series reveals that the average income stagnated in the last ten years. Japan’s well-beingOften cited with family income and per capita income, the annual average household income is a useful economic indicator of a country’s living standard and individual wealth. In terms of well-being, Japan’s performance is mixed compared to other OECD countries. While low labor market insecurity and a high employment rate indicate Japan is performing well relative to other OECD countries, average earnings, as well as household net adjusted disposable income were lower than the OECD average.

In 2024, the employment rates in South Korea were approximately 70.9 percent for men and 54.7 percent for women. While the employment rate for men was significantly higher than that for women, the rate for women has steadily increased over the past decade. Gender equality in South Korea Gender equality is a crucial issue in South Korea. The country has the largest pay gap between men and women among OECD nations. Despite numerous efforts to promote women's rights, the gap remains significant across all areas of society. Although more women are taking on leadership and decision-making roles, a survey indicated that few respondents are optimistic about a near-term improvement in gender inequality. Changing perspectives on career and marriage As more women enter the workforce, fewer South Korean women are choosing to marry and start families. An increasing number of South Korean women are opting to delay or forgo marriage altogether, reflecting a growing sentiment that marriage is not a necessity for a fulfilling life. According to a survey, one of the primary reasons South Korean women are avoiding marriage is simply that they do not feel the need to get married. This trend is reflected in the country's birth rate, which has fallen to a record low of 0.78 births per woman in 2023, making it the lowest among the OECD nations.

In 2023, the women-to-men earnings ratio in South Korea was approximately 65.3 percent. While this figure has increased in recent years, the gender pay gap remains significant in South Korean society. South Korea's gender pay gap An increasing number of South Korean women have joined the workforce in recent years. However, the female labor force participation rate remains significantly lower than the average of countries of the Organization for Economic Cooperation and Development (OECD). As of 2022, South Korea also had the largest gender pay gap among OECD countries. Challenges of work-life balance The struggle to balance childcare responsibilities with career demands disproportionately affects working women. This is especially true in South Korea, where a survey on women's equality has shown that employers do not provide adequate support for women to achieve a healthy work-life balance. One significant obstacle that makes it difficult for South Korean women to advance in their careers is the challenge of returning to work after an extended career break, such as maternity leave.