Korean Labor Law for Teachers

1. Verbal agreements, of any kind, are not legally binding and do not expect them to be honored. If your employer is dead serious on making you an agreement, they will put it in writing.
2. By law, if you work for a 12-month period the employer must pay you severance. If your contract states that you will receive a “Bonus” payment of one month of wages at the end of the contract, be careful. Usually the employer will not pay the “Bonus” and the “Bonus” is really the Severance payment that is owed to every worker in Korea. Approximately one month of wages is paid for every year of service to the company. The average of the last three months of received wages is what is used to determine the “base” amount; in addition, 25% of all bonuses that have been received are added to the calculation.
3. You are an instructor; a Teacher has a legal status in the Republic of Korea as Teachers do in most countries.  For example, in Canada a Teacher can sign your passport application, an instructor cannot.
4. If your contract promises you airfare, the value of the airfare should be stated in Korean WON, if not then the Labor Commission and the Labor Board cannot make a ruling on the value of the airfare.  To determine the value of the airfare a civil court process is required.  The civil court process can be processed through small claims court.  If the value of the airfare is stated then the Labor Board and Labor Commission can use the numerical value to determine the lawfully owed amount to you as an employee.
5. If a housing allowance is stated in the contract and is stated in Korean WON per month then that amount is considered part of your employment contract and will increase the amount of severance and the overtime rate. If the house or apartment is provided by the employer then the value of the housing will not increase either your severance or your overtime.
6. The employer can request you must be present at the school up to one half hour before your work starts, if they request any additional time, like one hour, then they must pay you overtime for the additional work required.
7. The hours you must work per month must be stated in your contract if you are being paid a monthly salary. It is advisable to keep a journal of your employment that keeps track of the time you have spent at work. Very often time cards are destroyed by the employer which makes it very difficult to get any overtime payments that are owed to you.
8. Overtime is paid at a rate of 150% of the average hourly wage. If the employer wishes to give you time off instead, it is still at 150% of the time that is owed.

 

Unfair Dismissal is a common seasonal event in Korea.

Employers will terminate Employees before the end of the one year contract to avoid paying Severance, Annual Leave (Holiday Pay) and, in some cases, return Airfare.  The remedy for Unfair Dismissal is Reinstatement of the Employee’s Position or a cash payment.

What does “Unfairly Dismissed” mean?

The procedures used to dismiss an employee are defined in the Companies Regulations and must comply with the Labor Standards Act.  Essentially, the standard procedure is: verbal warnings, followed by written warnings followed by termination. Between the warnings the Employee is given a chance to receive additional training and to improve their performance to meet the expectations of the Employer.  If the Employer has not followed the procedures as set out by the Company Regulations the Dismissal is Unfair.

Severance and Annual Leave Payments

Severance is only paid if the Employee has worked one year.  The amount of Severance paid is one month of the Average Wage received by the Employee calculated over the last three month period of employment.  The Average Wage is the daily amount of money received by the Employee. For every year the Employee works at the Company they will receive one month of their Average Wage and a prorated amount for the rest of the time employed. Every Employee is entitled to 10 days of Annual leave and will receive 15 upon the completion of the first 1 year contract.  Employees who work less than 15 hours a week are not entitled to Annual Leave or Severance Payments.  

What to Expect When You are Terminated

The Labor Standard Act was updated and by law your employer must give you a letter of Termination which states the reason the employment contract was terminated.  Additionally, it is advisable for the Employee to request a letter of release required by the Department of Immigration.  If the Employer does not give you a letter of termination or a letter of release do not panic, the refusal to give you the required documentation reflects poorly on the Employer.  The Employer must then notify the Department of Immigration of your change of Employment Status within 14 days of the termination.  If they do not you are able to go directly to the Department of Immigration and report the Employer to the Investigations Unit of the Department of Immigration.  You are able to cancel your E-2 VISA issued by the Employer by notifying the Department of Immigration’s Investigation Unit and then leaving The Republic of Korea.
 

If you have any other questions please feel free to contact us at help@k-labor.com

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