The World On arirang

South Korea's Kaesong business owners are stuck in a dilemma.
On the one hand, they're facing the prospect of having to pay a late fee if they don't comply with the North's demand for a wage hike, but on the other hand, they face the possibility of punitive measures from the South if they do.
None of the 124 South Korean companies have paid the March wages yet, which are due April 20th.

North Korea has threatened to impose a late fee of 15 percent per month if the South Korean companies don't issue the wage payments on time.
South Korea says it will not accept the North's unilateral demand for a wage hike, saying Pyongyang violated a 2004 agreement that calls for two quasi-governmental committees to set the pay rate together.
The two committees met for a second time on Saturday, but failed to reach a compromise.
In addition, Seoul has warned the South Korean companies operating in the complex that they will face punitive measures if they concede to the North's wage hike demands.

The two Koreas have been at odds over the issue since February, when the North unilaterally decided to raise the wage level by more than 5 percent to roughly 74 U.S. dollars a month starting in March for the approximately 53-thousand North Korean workers in the complex.
Seoul's Unification Ministry says it is still sending messages to Pyongyang asking to meet on the wage issue, but the North maintains that it's a matter for Pyongyang to decide.
Ji Myung-kil, Arirang News.