More than 50 state-run companies and organizations introduced the so-called wage peak system in August amid the government's push for the system in an effort to create more jobs for young people, the finance ministry said Sunday.
  

As of Friday, 65 out of all public-sector firms and institutions adopted the novel wage system, up 54 from a month earlier and at a much faster clip than expected by the government.
  

The government had earlier expected some 43 public-sector companies to introduce the wage peak system in August.
  

On Friday, state-run housing developer Korea Land & Housing Corp. decided to introduce the wage peak system for all employees, becoming the latest public firm to do so.
  

Policymakers have warned that the government will withhold bonuses and other benefits from public companies that refuse to adopt the new wage system.
  

Under the new wage scheme, the retirement age of all workers will be extended from 59 to 60, giving them greater job security. Instead, they will have to accept lower wages for a few years just before retirement, with the money saved to be spent on hiring new workers, mostly young people.  
  

South Korea has been dogged by high youth unemployment. The jobless rate among people between ages 15 and 29 reached 9.4 percent in July, compared with the headline rate of 3.7 percent. (Yonhap)