CHAPTER I GENERAL PROVISIONS
The purpose of this Act is to ensure that the employment insurance system operates effectively to prevent unemployment, to promote employment, to develop and improve the vocational skills of the workforce, to enhance the State's vocational guidance and job placement services, to support the livelihood of unemployed workers and job seeking by providing unemployment benefits, and to thereby contribute to sustained economic and social development.
The definitions of the terms used in this Act shall be as follows:
| 1. | The term "insured worker" means a worker who is or has been insured under Articles 5 (1) and (2), 6 (1), and 8 (1) and (2) of the Act on the Collection of Insurance Premiums, etc. for Employment Insurance and Industrial Accident Compensation Insurance (hereinafter referred to as the "Insurance Premium Collection Act"); |
| 2. | The term "departure from employment" means the termination of an employment relationship between an insured worker and the employer; |
| 3. | The term "unemployment" means the state of an insured worker being unemployed following departure from employment despite being able and willing to work; |
| 4. | The term "verification of unemployment" means confirmation by the director of an employment security center that an unemployed person who qualifies as an eligible recipient under Article 43 is actively seeking employment; |
| 5. | The term "wages" means the wages as provided for in the Labor Standards Act: Provided, That certain money and other remuneration paid during a leave of absence or similar, as determined by the Minister of Labor, is also considered wages under this Act; and |
| 6. | The term "dayworker" means a person who is employed for less than one month. |
| Article 3 (Administration of Insurance) |
The Minister of Labor is responsible for the administration of employment insurance (hereinafter referred to as the "insurance").
| Article 4 (Insurance Programs) |
| (1) | To achieve the purposes provided for in Article 1, the Minister of Labor shall operate the following employment insurance programs (hereinafter referred to as "insurance programs"): employment security, vocational skills development, unemployment benefits, child care leave benefits, and maternity or paternity leave benefits. |
| (2) | The insurance year for insurance programs coincides with the Government's fiscal year. |
| Article 5 (Fiscal Assistance) |
| (1) | The Government may appropriate funds from its general account to cover part of the annual costs of insurance programs. |
| (2) | The Government may pay for the administrative and operating expenses of insurance programs within annual budget limits. |
| Article 6 (Insurance Premiums) |
| (1) | The Insurance Premium Collection Act shall govern the collection of insurance premiums and other revenues to be used to cover the costs of insurance programs under this Act. |
| (2) | Revenues from insurance premiums for employment security, vocational skills development, and unemployment benefits collected under Article 13 (1) 1 of the Insurance Premium Collection Act shall be allocated for the respective programs: Provided, That premium revenue for unemployment benefits may be used for other programs, including child care leave benefits and maternity or paternity leave benefits. |
| Article 7 (Review by Employment Policy Review Committee) |
Important matters concerning the enforcement of this Act shall be reviewed by the Employment Policy Review Committee established under Article 6 of the Framework Act on Employment Policy (hereinafter referred to as the "Employment Policy Review Committee").
| Article 8 (Scope of Application) |
This Act shall apply to every business or workplace (hereinafter referred to as "employing unit"): Provided, That exceptions may be provided by Presidential Decree for certain types of employing units in view of specific industry characteristics, size, or other considerations.
| Article 9 (Commencement and Termination of Insurance) |
The Insurance Premium Collection Act shall govern the commencement and termination of insurance under this Act.
| Article 10 (Ineligible Workers) |
This Act shall not apply to workers who fall under any of the following subparagraphs: Provided, That provisions relating to the employment security program and the vocational skills development program shall still apply to workers who fall under subparagraph 1: <Amended by Act No. 8959, Mar. 21, 2008>
| 1. | A person aged 65 or older; |
| 2. | A person whose number of hours worked over a specified period is fewer than the minimum number of hours required by Presidential Decree; |
| 3. | A public official under the State Public Officials Act or the Local Public Officials Act: Provided, That public officials in extraordinary services and public officials in contractual services may subscribe to employment insurance (limited to Chapter IV) at their own will as prescribed by Presidential Decree; |
| 5. | Any other person specified by Presidential Decree. |
| Article 11 (Insurance-related Survey and Research) |
| (1) | The Minister of Labor may conduct surveys and research projects to support Insurance-related operations and research on the labor market, occupations, and vocational skills development. |
| (2) | The Minister of Labor may, if necessary, authorize a person specified by Presidential Decree to conduct some of the activities under paragraph (1). |
| Article 12 (International Exchange and Cooperation) |
The Minister of Labor may operate exchange and cooperation programs in relation to insurance programs with international organizations and foreign governments or institutions.
CHAPTER II ADMINISTRATION OF INSURED WORKERS
| Article 13 (Acquisition of Insured Status) |
An insured worker shall acquire insured status as of the first day of employment with an employment unit subject to this Act: Provided, That he/she shall be considered to acquire such status on the relevant date in cases of the following subparagraphs:
| 1. | A worker who was an ineligible worker under Article 10 acquires insured status as of the date the worker becomes an eligible worker under this Act; and |
| 2. | A worker who was employed before commencement of insurance under Article 7 of the Insurance Premium Collection Act acquires insured status as of the effective date of commencement of insurance. |
| Article 14 (Loss of Insured Status) |
An insured worker shall lose insured status as of:
| 1. | The date when he/she becomes an ineligible worker under Article 10; |
| 2. | The date when insurance is terminated under Article 10 of the Insurance Premium Collection Act; |
| 3. | The date after he/she departs from employment; or |
| 4. | The date after he/she dies. |
| Article 15 (Report, etc. on Insured Status) |
| (1) | Employers shall report to the Minister of Labor any changes about their employees' insured status, such as attainment and loss thereof, as prescribed by Presidential Decree. |
| (2) | With respect to a worker who works for a subcontractor, but whose legal employer is the original contractor as prescribed in Article 9 of the Insurance Premium Collection Act, the subcontractor who falls under any of the following subparagraphs shall file the report required by paragraph (1). In this case, the original contractor shall submit to the Minister of Labor information on the subcontractor as prescribed by Ministerial Decree of Labor: |
| 1. | A building contractor under subparagraph 5 of Article 2 of the Frame-work Act on the Construction Industry; |
| 5. | A fire protection equipment contractor under Article 2 (1) 2 of the Fire-Fighting System Installation Business Act; and |
| 6. | A cultural heritage restoration contractor under Article 27 of the Cultural Heritage Protection Act. |
| (3) | If an employer fails to file a report on insured status under paragraph (1), any employee may file such report as prescribed by Presidential Decree. |
| (4) | Upon receipt of a report filed under paragraphs (1) through (3), the Minister of Labor shall notify the interested persons, including the insured worker and the original contractor, of the filing of the reported information, such as attainment or loss of insured status as prescribed by Ministerial Decree of Labor. |
| (5) | Any employer, original contactor, or subcontractor of paragraph (1) or (2) may file such report described therein by electronic means prescribed by Ministerial Decree of Labor. |
| (6) | The Minister of Labor may provide an employer, original contractor, or subcontractor who wishes to report electronically pursuant to paragraph (5) with necessary equipment as prescribed by Ministerial Decree of Labor. |
| Article 16 (Proof of Departure from Employment) |
| (1) | When reporting an employee's loss of insured status due to departure from employment as provided for in Article 15 (1), the employer shall prepare and submit to the Minister of Labor documents specifying the number of days qualifying in covered employment, reason for departure from employment, and all wages and severance pay paid until such departure from employment (hereinafter referred to as "proof of departure from employment"): Provided, That the same shall not apply if the employee (excluding dayworkers) who has lost insured status does not wish to apply for grant of eligibility for benefits under Article 43 (1). |
| (2) | Any person who has lost insured status due to departure from employment is entitled to request the former employer to provide proof of departure from employment for the purposes of applying for grant of eligibility for unemployment benefits. Upon such request, the employer shall provide the proof of departure from employment. |
| Article 17 (Verification of Insured Status) |
| (1) | Any person who is or was insured is entitled to request the Minister of Labor to verify the loss or attainment of insured status at any time. |
| (2) | The Minister of Labor shall verify the loss or attainment of insured status upon such request under paragraph (1) or ex officio. |
| (3) | The Minister of Labor shall issue notice of verification under paragraph (2) to the interested persons, including any person who has filed the request for verification and the employer, as prescribed by Presidential Decree. |
| Article 18 (Limitation on Double Insurance) |
A worker who is concurrently employed by at least two covered employment units shall attain insured status with only one of those units as prescribed by Ministerial Decree of Labor.
CHAPTER III EMPLOYMENT SECURITY AND VOCATIONAL SKILLS DEVELOPMENT
| Article 19 (Operation of Employment Security and Vocational Skills Development Programs) |
| (1) | The Minister of Labor is responsible for operating programs for employment security and vocational skills development to prevent unemployment, promote employment, increase employment and training opportunities, and support efforts to develop and improve vocational skills and otherwise improve employment security for the benefit of workers who are, was, or will be insured (hereinafter referred to as the "insured") and also employers who will be assisted in hiring qualified workers. |
| (2) | In operating such programs for employment security and vocational skills development under paragraph (1), the Minister of Labor shall give priority to businesses satisfying the criteria set forth by Presidential Decree, such as requirements relating to the number of employees and actions taken and outcomes achieved for employment security and vocational skills development. |
| Article 20 (Assistance for Job Creation) |
The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to employers who expand employment opportunities by improving the working environment, implementing alternative work patterns, or making other efforts toward job creation.
| Article 21 (Restructuring Assistance) |
| (1) | The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to an employer who, despite changes in business conditions or industry structure that make it inevitable to downsize, close, convert, or otherwise restructure the business, makes efforts to improve employment security, such as redeployment, temporary shutdown, and vocational skills development for job changes. |
| (2) | The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to an employer who employs a worker made redundant because of such restructuring under paragraph (1) or otherwise improves employment security for workers whose employment has become precarious. |
| Article 22 (Promotion of Employment in Disadvantaged Areas) |
The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to employers who have contributed to preventing unemployment, promoting reemployment, or otherwise increasing employment opportunities by commencing, expanding, or relocating their business to areas where the employment situation is significantly worse or rapidly deteriorating because of changes in industrial structures or other factors.
| Article 23 (Assistance for Employment of Disadvantaged Workers) |
The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to employers who hire older people and other people who ordinarily have particular difficulty in finding employment in the labor market (hereinafter referred to as "disadvantaged workers") or take other action to improve their employment security or to such disadvantaged workers involved in such employers' actions.
| Article 24 (Assistance for Employment Security of Construction Workers) |
| (1) | The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to employers who operate a program falling under any of the following subparagraphs for construction workers and others in precarious employment: |
| 1. | Programs to improve employment conditions; |
| 2. | Programs for employment security, such as continued employment opportunities; and |
| 3. | Other programs for employment security as prescribed by Presidential Decree. |
| (2) | The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to an employers' association to operate a program falling under any of the subparagraphs of paragraph (1) that is not practical to be operated by a single employer. |
| Article 25 (Employment Security and Promotion) |
| (1) | The Minister of Labor may operate, or provide grants or loans to operate, the following programs for employment security and promotion for the insured: |
| 1. | Programs to improve employment, such as employment management consulting; |
| 2. | Programs to help the insured commence a new business; and |
| 3. | Programs to otherwise promote employment security and for promotion for the insured as prescribed by Presidential Decree. |
| (2) | Necessary matters relating to operation of, and grants or loans for, the programs under paragraph (1) shall be prescribed by Presidential Decree. |
| Article 26 (Assistance for Facilities Contributing to Promoting Employment) |
To promote and stabilize employment for the insured and to assist employers to meet their hiring needs, the Minister of Labor may, as prescribed by Presidential Decree, provide assistance to those who establish and operate consulting offices, child care centers, or other facilities that contribute to promoting employment as defined by Presidential Decree.
| Article 27 (Assistance for Employer-Initiated Development of Vocational Skills) |
To develop and improve the vocational skills of the Insured, the Minister of Labor may, as prescribed by Presidential Decree, provide grants to employers who operate vocational skills development programs as defined by Presidential Decree.
| Article 28 (Grant Amount) |
The amount of a grant awarded by the Minister of Labor to an employer under Article 27 shall be determined by multiplying the sum of the premiums due for employment security and vocational skills development as specified in the relevant year's estimated employment insurance premium statement under Article 17 of the Insurance Premium Collection Act (for an employment unit exempt from filing requirements under Article 21 of the same Act, the equivalent sum paid for the previous year) by a rate determined by Presidential Decree, which also sets forth award limits.
| Article 29 (Assistance for Vocational Skills Development of Insured) |
| (1) | The Minister of Labor may provide grants to the insured who participate in vocational skills development programs or otherwise endeavor to develop and improve their vocational skills, as prescribed by Presidential Decree. |
| (2) | The Minister of Labor may, if necessary, operate vocational skills development programs to promote the employment of the insured, as prescribed by Presidential Decree. |
| Article 30 (Assistance for Vocational Skills Development Facilities) |
Insofar as the Minister of Labor determines that such assistance is necessary to develop and improve the vocational skills of the insured, the Minister of Labor may provide loans to cover expenses for establishing and equipping vocational skills development facilities as prescribed by Presidential Decree and provide grants for establishing, equipping, and operating such vocational skills development facilities as the Minister determines to be eligible.
| Article 31 (Promotion of Vocational Skills Development) |
| (1) | The Minister of Labor may operate, or provide grants to operate, programs described in the following subparagraphs to encourage the insured to develop and improve their vocational skills: |
| 1. | Programs to provide technical assistance and evaluation for vocational skills development programs; |
| 2. | Programs for the development and certification of technical skills and competencies; and |
| 3. | Other programs as prescribed by Presidential Decree. |
| (2) | The Minister of Labor may, as prescribed by Presidential Decree, entrust appropriate persons to operate vocational skills development programs for occupational categories specified by the Minister of Labor if deemed necessary to develop and improve the vocational skills of the workforce and to match such skills with employers' needs. |
| Article 32 (Assistance for Vocational Skills Development of Construction Workers) |
| (1) | The Minister of Labor may provide grants to employers who operate programs to develop and improve the vocational skills of construction workers and others in precarious employment as prescribed by Presidential Decree. |
| (2) | The Minister of Labor may, as prescribed by Presidential Decree, provide assistance to an employers' association to operate a vocational skills development program under paragraph (1) that is not practical to be operated by a single employer. |
| Article 33 (Establishment of Resources for Information and Assistance Services) |
| (1) | The Minister of Labor may operate programs for the establishment of resources, including employment service personnel, necessary to provide employers and the insured with information services relating to hiring, training, and job search and consulting and other services relating to vocational guidance, job placement, employment security, and vocational skills development programs. |
| Article 34 (Assistance of Local Governments and Organizations) |
The Minister of Labor may provide assistance to a local government or a nonprofit corporation or organization as defined by Presidential Decree for operating employment security and promotion programs or vocational skills development programs for the insured in the region, as prescribed by Presidential Decree.
| Article 35 (Restriction on Assistance following Fraudulent Claims) |
| (1) | With respect to a person who attempts to obtain, or has already obtained, assistance provided for in relation to any program for employment security or vocational skills development under this Chapter by any false or fraudulent means, the Minister of Labor may restrict further assistance or order repayment of any assistance already provided, as prescribed by Presidential Decree. |
| (2) | In making a repayment order under paragraph (1), the Minister of Labor may charge an additional amount based on the criteria set forth by Ministerial Decree of Labor, which, however, may not exceed the full amount subject to repayment that the person has obtained by false or fraudulent means: Provided, That with respect to a person who operates a vocational skills development program under subparagraph 1 of Article 2 of the Act on the Development of Occupational Abilities of Workers, Articles 16 (5) 1 and 25 (4) 1 of the same Act apply mutatis mutandis. |
| (3) | The Minister of Labor may deny assistance for employment security and vocational skills development programs under this Chapter to those who have default on premium payments as determined by the Minister of Labor. |
The Minister of Labor may, if necessary, authorize any person specified by Presidential Decree to conduct by proxy some of the activities under Articles 19 and 27 through 31.
CHAPTER IV UNEMPLOYMENT BENEFITS
Section 1 General Provisions
| Article 37 (Types of Unemployment Benefits) |
| (1) | Unemployment benefits shall be classified into job-seeking benefits and employment promotion allowances. |
| (2) | Employment promotion allowances include: |
| 1. | Early re-employment allowance; |
| 2. | Vocational skills development allowance; |
| 3. | Long-distance job search allowance; and |
| Article 38 (Protection of Benefit Rights) |
No right to receive unemployment benefits may be transferred, seized, or pledged.
| Article 39 (Extension of Eligibility for Unemployment Benefits) |
Notwithstanding subparagraph 1 of Article 10, this Chapter shall continue to apply to an insured worker whose departure from employment occurred before reaching the age of 65 and who has since remained unemployed until reaching the age of 65.
Section 2 Job-Seeking Benefits
| Article 40 (Eligibility Requirements for Job-Seeking Benefits) |
| (1) | Job-seeking benefits shall be payable only if an insured worker, upon departure from employment, meets all requirements under the following subparagraphs: Provided, That subparagraphs 5 and 6 shall apply only to those whose most recent departure from employment was as a dayworker: |
| 1. | The number of qualifying days the insured worker spent in covered employment under Article 41 during the 18-month period up to the date of departure from employment (hereinafter referred to as "base period") shall be at least 180 days in total; |
| 2. | The insured worker is able and willing to work but is still yet to secure employment (including self-employment in a for-profit business; hereafter the same shall apply in this Chapter); |
| 3. | The reasons for departure from employment shall not fall within any of the disqualifying conditions set forth in Article 58; |
| 4. | The insured worker shall be actively seeking reemployment; |
| 5. | The number of days worked during the one-month period up to the date of applying for approval of eligibility for benefits under Article 43 shall be less than ten days; and |
| 6. | If the insured worker had a disqualifying departure from employment under Article 58 at some time within those 180 days in covered employment during the base period for the insured worker's most recent departure from employment, then the insured worker shall have worked as a dayworker for at least 90 days out of the qualifying days in covered employment. |
| (2) | If an insured worker's 18-month base period includes a continuous period of 30 days or more during which the insured worker earned no wages due to illness, injury, or any other cause specified by Presidential Decree, the base period for such insured worker shall be determined by adding that time period to the normal 18-month base period (if the base period exceeds three years, it shall be three years). |
| Article 41 (Qualifying Days in Covered Employment) |
| (1) | The number of qualifying days in covered employment shall be calculated as the sum of the number of days in covered employment for which wages are paid. |
| (2) | In calculating the number of qualifying days in covered employment under paragraph (1), any days during a person's previous covered employment with respect to which the person already obtained approval of eligibility for benefits under Article 43 (1) before the date on which insured status was most recently attained, shall be excluded. |
| Article 42 (Registering as Unemployed) |
| (1) | Those who intend to apply for job-seeking benefits shall, upon departure from employment, report in person to an employment security center and register as unemployed. |
| (2) | Registering as unemployed under paragraph (1) shall involve registering as a job seeker and applying for grant of eligibility for benefits under Article 43. |
| Article 43 (Approval of Eligibility for Benefits) |
| (1) | All applications for job-seeking benefits shall be subject to a determination by the director of the relevant employment security center on whether an applicant meets all applicable requirements for receiving job-seeking benefits under Article 40 (1) 1 through 3, 5, and 6 (hereinafter referred to as "eligibility for benefits"). |
| (2) | Upon receipt of an application for approval of eligibility for benefits under paragraph (1), the director of an employment security center shall determine whether to approve or deny the applicant's eligibility for benefits and notify the applicant of such determination, as prescribed by Presidential Decree. |
| (3) | In making a determination under paragraph (2), if an applicant meets all requirements described in the following subparagraphs, the applicant's eligibility for benefits shall be determined with respect to the applicant's most recent employment: Provided, That an applicant whose most recent departure from employment was as a dayworker and whose number of qualifying days in covered employment is less than one month fails to meet those requirements for eligibility for benefits, then the applicant's eligibility for benefits shall be determined with respect to the applicant's most recent employment in which the applicant was not a dayworker: |
| 1. | The applicant's most recent covered employment shall not be the only time the applicant has been in covered employment; and |
| 2. | The applicant shall never have obtained grant of eligibility for benefits with respect to any departure from employment, other than the most recent instance. |
| (4) | If a person who has obtained grant of eligibility for benefits under paragraph (2) (hereinafter referred to as an "eligible recipient") obtains a new grant of eligibility for benefits during a period under Articles 48 and 54 (1), job-seeking benefits shall be paid on the basis of the newly approved eligibility for benefits. |
| Article 44 (Verification of Unemployment) |
| (1) | Job-seeking benefits shall be paid for days of unemployment with respect to which an eligible recipient has obtained verification of unemployment from the director of an employment security center. |
| (2) | To apply for verification of unemployment, eligible recipients shall present themselves on the date the director of an employment security center designates between the first and fourth week from the date of registering as unemployed under Article 42 (hereinafter referred to as "date of unemployment verification") and certify that they have been actively seeking reemployment; the director of the employment security center shall confirm verification of unemployment for each day between the day after the most recent unemployment verification and the date of unemployment verification, inclusive: Provided, That separate provisions for verification of unemployment shall apply as prescribed by Ministerial Decree of Labor, if the applicant is: |
| 1. | An eligible recipient currently participating in a vocational skills development program or similar; |
| 2. | An eligible recipient affected by a natural disaster, mass unemployment, or any other cause specified by Presidential Decree; or |
| 3. | Any other eligible recipient specified by Presidential Decree. |
| (3) | Notwithstanding paragraph (2), an eligible recipient may obtain verification of unemployment by submitting a certificate explaining the reason for failing to report, if the eligible recipient was unable to report in person to the employment security center due to: |
| 1. | Personal illness or injury, in which event the period of failing to report for that cause is less than seven consecutive days; |
| 2. | A job interview with a potential employer or any other appointment that was arranged by the placement service of the employment security center; |
| 3. | A vocational skills development program or similar that the director of the employment security center required the eligible recipient to participate in; or |
| 4. | A natural disaster or any other inevitable cause. |
| (4) | During the process of verification of unemployment under paragraph (1), the director of an employment security center shall take steps to facilitate the reemployment of eligible recipients, such as reemployment planning and job placement assistance, as prescribed by Presidential Decree. In this case, eligible recipients shall comply with such steps unless there is justifiable cause for failure to comply. |
| Article 45 (Daily Wage as Basis for Computation of Benefits) |
| (1) | The daily wage to be used as basis for computation of job-seeking benefits (hereinafter referred to as "daily wage") shall be the average wage computed as provided for in Article 2 (1) 6 of the Labor Standards Act at the time of the most recent departure from employment to which an approval of eligibility for benefits under Article 43 (1) relates: Provided, That with respect to a worker who had attained insured status on at least two occasions in the three-month period immediately preceding the date of the most recent departure from employment, the daily wage shall be computed by dividing the total amount of wages paid to the worker during the three-month period immediately preceding the date of such most recent departure from employment (for dayworkers, the first three months out of the last four months immediately preceding the date of the most recent departure from employment) by the total number of calendar days in that three-month period. |
| (2) | If the amount of a worker's daily wage computed as provided for in paragraph (1) is less than the amount of the standard applicable to the worker as defined by the Labor Standards Act, then the amount of such standard wage shall be deemed the worker's daily wage: Provided, That the same shall not apply to those whose most recent departure from employment was as a dayworker. |
| (3) | If it is difficult to compute a worker's daily wage in accordance with paragraphs (1) and (2) or if the amount of a worker's insurance premium has been determined on the basis of the standard wage as defined in Article 3 of the Insurance Premium Collection Act (hereinafter referred to as "standard wage"), then the standard wage shall be deemed the worker's daily wage: Provided, That the same shall not apply if the standard wage of a worker, the amount of whose insurance premium has been determined on the basis of that standard wage, is less than the daily wage computed as provided for in paragraphs (1) and (2). |
| (4) | Notwithstanding the provisions of paragraphs (1) through (3), if an eligible recipient's daily wage computed in accordance with such provisions is less than the amount obtained by multiplying the number of hours worked per day prior to departure from employment by the minimum hourly wage under the Minimum Wages Act effective at the time of departure from employment (hereinafter referred to as "minimum daily wage"), then the minimum daily wage shall be deemed the eligible recipient's daily wage. |
| (5) | Notwithstanding the provisions of paragraphs (1) through (3), if an eligible recipient's daily wage computed in accordance with such provisions exceeds the amount set by Presidential Decree in view of the purposes of the insurance, prevailing wage levels, and other considerations, then the amount set by Presidential Decree shall be deemed the eligible recipient's daily wage. |
| Article 46 (Daily Benefit Amount) |
| (1) | The daily amount of job-seeking benefits shall be determined according to the following classification: |
| 1. | In cases of Article 45 (1) through (3), and (5), 50 percent of the eligible recipient's daily wage; or |
| 2. | In cases of Article 45 (4), 90 percent of the eligible recipient's daily wage (hereinafter referred to as "minimum daily amount of job-seeking benefits"). |
| (2) | If an eligible recipient's daily amount of job-seeking benefits computed under paragraph (1) 1 is less than the minimum daily amount of job-seeking benefits, then the minimum daily amount of job-seeking benefits shall be the daily amount of job-seeking benefits payable to the eligible recipient. |
| Article 47 (Report of Work during Unemployment Verification Period) |
| (1) | All eligible recipients shall report to the director of an employment security center about all paid work activities, if any, performed during the period with respect to which they are applying for verification of unemployment (hereinafter referred to as "period subject to verification of unemployment"). |
| (2) | The director of an employment security center may, if necessary, investigate any eligible recipient's work activities during the period subject to verification of unemployment. |
| Article 48 (Benefit Period and Number of Days of Benefit) |
| (1) | Except as otherwise provided for in this Act, job-seeking benefits shall be payable for up to the specified number of days for which benefits are payable under Article 50 (1) during a 12-month period following the date of departure from employment to which the current eligibility for job-seeking benefits relates. |
| (2) | Those who report their unavailability for work due to pregnancy, childbirth, child care, or any other cause set forth by Presidential Decree to the employment security center within the 12-month period under paragraph (1) are entitled to be paid job-seeking benefits for up to the number of days of benefits payable under Article 50 (1) during a benefit period determined by adding the period during which such person is unavailable for work to the 12-month period (if the benefit period exceeds four years, it shall be four years). |
| Article 49 (Waiting Period) |
Notwithstanding Article 44, job-seeking benefits shall not be payable for the seven-day waiting period beginning with the date of the applicant registering as unemployed under Article 42.
| Article 50 (Days of Benefits Payable) |
| (1) | The days for which job-seeking benefits are payable per eligibility for benefits (hereinafter referred to as "days of benefits payable") begin on the first day following the waiting period and end upon passage of the specified number of days during for which benefits are payable as determined by age and period of covered employment and as set forth in the Appendix. |
| (2) | With respect to an eligible recipient whose benefit period has been extended due to pregnancy, childbirth, child care, or any other cause set forth by Presidential Decree as provided for in Article 48 (2) within the days of benefits payable, payment of job-seeking benefits for the remaining number of days during which benefits are payable shall be deferred until the period when such recipient is unavailable for work has passed. |
| (3) | The period of covered employment under paragraph (1) shall be the period of employment with the employment unit covered at the time of departure from employment to which the current eligibility for benefits relates (excluding any period of employment as a worker falling under any of the subparagraphs of Article 10; hereafter the same shall apply in this Article): Provided, That the period of employment with any previous covered employment unit shall be included if insured status was reattained within three years from departure from employment with the previous covered employment unit. |
| (4) | In computing a period of covered employment under the proviso to paragraph (3), if an eligible recipient received job-seeking benefits before attaining insured status with the covered employing unit at the time of departure from employment to which the computation relates, any period of employment before the date of departure from employment associated with the previously paid benefits shall be excluded. |
| (5) | If the actual date of attaining insured status applicable to a single period of covered employment is claimed to date back more than three years from the date when attainment of insured status was last verified under Article 17, the date three years before the last date of verification shall be deemed the date on which insured status is acquired, applicable to computation of the period of covered employment. |
| Article 51 (Extended Training Benefits) |
| (1) | The director of an employment security center may require an eligible recipient to participate in a vocational skills development training or similar, if the director considers it necessary for the eligible recipient's reemployment in view of age, work experience, and other considerations. |
| (2) | The director of an employment security center may allow those eligible recipients whom the director has required to participate in a vocational skills development training or similar under paragraph (1) to be paid extra job-seeking benefits, in addition to their specified number of days for which benefits are payable, for the period of days during which they have participated in the vocational skills development training or similar, and for which they have obtained verification of unemployment. In this case, the additional job-seeking benefits (hereinafter referred to as "extended training benefits") shall be payable only for a period not exceeding the maximum period specified by Presidential Decree. |
| (3) | Necessary matters relating to eligible trainees and training courses under paragraph (1) and other relevant details shall be prescribed by Ministerial Decree of Labor. |
| Article 52 (Individual Extended Benefits) |
| (1) | The director of an employment security center may allow those eligible recipients who qualify as having particular difficulty in finding employment and living in financial hardship under the criteria set forth by Presidential Decree to be paid extra job-seeking benefits, in addition to their specified number of days for which benefits are payable, for the period of days for which they have obtained verification of unemployment. |
| (2) | The additional job-seeking benefits under paragraph (1) (hereinafter referred to as "individual extended benefits") shall be payable for a period specified by Presidential Decree not exceeding 60 days. |
| Article 53 (Special Extended Benefits) |
| (1) | Under circumstances as prescribed by Presidential Decree such as a rapid rise in unemployment, the Minister of Labor may allow eligible recipients to be paid extra job-seeking benefits, in addition to their specified number of days for which benefits are payable, for a period not to exceed 60 days for which they obtain verification of unemployment: Provided, That the same shall not apply to a person whose income is determined to be adequate to ensure security of livelihood after departure from employment under the criteria set forth by Ministerial Decree of Labor. |
| (2) | Before making any additional benefits available, the Minister of Labor shall set the period during which additional job-seeking benefits under the main sentence of paragraph (1) (hereinafter referred to as "special extended benefits") are payable. |
| Article 54 (Extended Benefit Period and Daily Benefit Amount) |
| (1) | Where any extended benefits described in Articles 51 through 53 are payable, the benefit period of an eligible recipient shall be computed by adding the number of days of additional benefits payable to the regular benefit period of the eligible recipient under Article 48. |
| (2) | Where extended training benefits are paid under Article 51, the daily amount thereof shall be 100/100 of the relevant eligible recipient's daily amount of regular job-seeking benefits, and where individual extended benefits and special extended benefits are paid under Article 52 or 53, the daily amount thereof shall be 70/100 of the relevant eligible recipient's daily amount of regular job-seeking benefits. <Amended by Act No. 8959, Mar. 21, 2008> |
| (3) | If an eligible recipien's daily amount of extended benefits as computed under paragraph (2) is less than the minimum daily amount of job-seeking benefits under Article 46 (2), then the minimum daily amount of job-seeking benefits shall be the daily amount of extended benefits payable to the eligible recipient. |
| Article 55 (Regulation of Extended Benefit Payment) |
| (1) | Any extended benefits under Articles 51 through 53 shall be payable after regular job-seeking benefits to which an eligible recipient is entitled under Article 48 have been fully paid. |
| (2) | No individual extended benefits or special extended benefits shall be payable to an eligible recipient currently receiving extended training benefits until extended training benefits payable to the eligible recipient have been fully paid. |
| (3) | When extended training benefits become payable to an eligible recipient currently receiving individual extended benefits or special extended benefits, such individual extended benefits or special extended benefits shall cease to be paid to the eligible recipient. |
| (4) | No individual extended benefits shall be payable to an eligible recipient currently receiving special extended benefits until special extended benefits payable to the eligible recipient have been fully paid likewise, no special extended benefits are payable to an eligible recipient currently receiving individual extended benefits until individual extended benefits payable to the eligible recipient have been fully paid. |
| (5) | Other necessary matters required to regulate payment of extended benefits shall be prescribed by Ministerial Decree of Labor. |
| Article 56 (Date and Method of Payment) |
| (1) | Job-seeking benefits shall be payable for the number of days for which verification of unemployment has been obtained as prescribed by Presidential Decree. |
| (2) | The director of an employment security center shall set the date for payment of job-seeking benefits for each eligible recipient and notify him/her of the date. |
| Article 57 (Benefits Due Deceased Recipients) |
| (1) | Any remaining job-seeking benefits due a deceased eligible recipient shall be payable upon a claim duly filed by the surviving spouse (including a de facto spouse) or any dependent child, parent, grandchild, grandparent, or sibling with the same livelihood of the deceased eligible recipient. |
| (2) | With respect to any period of days for which a deceased eligible recipient could not obtain verification of unemployment, the person who files a claim for the remaining benefits under paragraph (1) shall obtain verification of unemployment therefor as prescribed by Presidential Decree. In this case, the claimant for the remaining benefits shall, if applicable, also report to the director of an employment security center on all relevant facts that the deceased eligible recipient would have had to report under Article 47 (1). |
| (3) | Eligible claimants for the remaining benefits under paragraph (1) shall be given priority in the order in which they are named in that paragraph. In this case, if two or more eligible claimants exist in the same order of priority, a claim by one of the claimants shall be considered to have been made on behalf of all of them, and payment to that claimant shall be considered to have been made for all of them. |
| Article 58 (Disqualifying Departure from Employment) |
Notwithstanding Article 40, an insured worker shall be disqualified for benefits if the director of an employment security center determines that any of the following subparagraphs applies to the insured worker: | 1. | Insured workers who have been dismissed for: |
| (a) | Any violation of the Criminal Act or any duty-related Act that resulted in a sentence of imprisonment without prison labor or heavier; |
| (b) | Gross misconduct that caused serious damage to the employment unit's business or property as set forth by Ministerial Decree of Labor; or |
| (c) | Prolonged unauthorized absence without justifiable cause in breach of the employment contract or work rules; and |
| 2. | Insured workers whose departure from employment was due to their own circumstances and the result of: |
| (a) | A resignation to take up a new job or start one's own business; |
| (b) | A resignation following the employer's recommendation to resign rather than face dismissal for gross misconduct under subparagraph 1; or |
| (c) | Any reason other than justifiable cause as defined by Ministerial Decree of Labor. |
| Article 59 (Deferral of Benefits for Exceeding Income Limit) |
| (1) | Notwithstanding Article 48 (1), payment of job-seeking benefits may be deferred for the first three months following the date of registering as unemployed under Article 42 if the amount of all money and other remuneration payable upon severance, which an eligible recipient has received (including an eligible recipient who is certain to receive them as determined by Presidential Decree), exceeds the amount set by Presidential Decree in view of economic conditions existing at the time of the eligible recipient's departure from employment. |
| (2) | With respect to an eligible recipient whose job-seeking benefits have been deferred under paragraph (1), the waiting period under Article 49 shall be considered to have ended upon expiration of the deferral period. |
| (3) | With respect to an eligible recipient whose job-seeking benefits have been deferred under paragraph (1), the benefit period shall be adjusted by adding three months to the benefit period defined in Article 48. |
| Article 60 (Suspension of Benefits for Refusing Suitable Work or Training) |
| (1) | Payment of job-seeking benefits shall be suspended as prescribed by Presidential Decree if an eligible recipient refuses to accept a job offered by the director of an employment security center or to participate in vocational skills development training or similar required by the director: Provided, That the same shall not apply if: |
| 1. | The job offered or the occupational category to which the required vocational skills development training or similar relates is not suitable in view of the capabilities of the eligible recipient; |
| 2. | The eligible recipient is required to, but cannot afford to, move to where the job offered is or where the vocational skills development training or similar takes place; |
| 3. | The wage level for the job offered is 20/100 or lower than the prevailing wage level for comparable jobs in the same occupational category or jobs requiring a similar level of skills in the area of intended employment, or the job offered is otherwise unacceptable as determined by the Minister of Labor; or |
| 4. | Any other justifiable cause is determined to exist. |
| (2) | Payment of job-seeking benefits shall be suspended as prescribed by Presidential Decree if an eligible recipient refuses, without justifiable cause, to comply with the steps taken by the director of an employment security center to facilitate reemployment under the vocational guidance criteria set by the Minister of Labor. |
| (3) | The director of an employment security center shall determine whether there exists justifiable cause under paragraphs (1) and (2) in accordance with the criteria set by the Minister of Labor. |
| (4) | The Minister of Labor shall determine and announce the period of suspension of job-seeking benefits under paragraphs (1) and (2), not exceeding one month. |
| Article 61 (Denial of Benefits following Fraudulent Claims) |
| (1) | Those who have received, or attempted to receive, unemployment benefits by any false or fraudulent means shall be denied job-seeking benefits from the date when they received, or attempted to receive, unemployment benefits: Provided, That the same shall not apply to subsequent eligibility for job-seeking benefits that may be approved after the departure from employment related to the denied benefits. |
| (2) | Notwithstanding the main sentence of paragraph (1), if the false or fraudulent means involved relates to a false report or failure to report under Article 47 (1) or any other violation set forth by Presidential Decree, job-seeking benefits shall be denied only for the relevant period subject to verification of unemployment: Provided, That if such violations are made on two or more occasions, the main sentence of paragraph (1) shall govern. |
| (3) | Even if those who have received, or attempted to receive, unemployment benefits by any false or fraudulent means are denied job-seeking benefits under paragraph (1) or (2), they shall be considered to have received such job-seeking benefits for the purposes of applying Article 50 (3) and (4) thereto. |
| (4) | Even if those who have received, or attempted to receive, unemployment benefits by any false or fraudulent means are denied job-seeking benefits under paragraph (1) or (2), they shall be considered to have received job-seeking benefits, including for the days for which benefits have been denied for the purposes of applying Article 63 (2) thereto. |
| Article 62 (Recovery of Improperly or Erroneously Paid Benefits) |
| (1) | The director of an employment security center may order a person who has received job-seeking benefits by any false or fraudulent means to repay all or part of the benefits paid, the director may, as prescribed by Ministerial Decree of Labor, charge an additional amount not exceeding the full amount subject to repayment that such person has received by false or fraudulent means. |
| (2) | If the false or fraudulent means referred to in paragraph (1) involve any false report or certification by an employer (including an agent, servant, or employee of the employer), the employer shall be jointly and severally liable with the recipient of the improperly paid job-seeking benefits. |
| (3) | The director of an employment security center may recover the amount of job-seeking benefits erroneously paid to a current or former eligible recipient. |
| Article 63 (Special Cases for Sickness Benefits) |
| (1) | Notwithstanding Article 44 (1), with respect to any days for which verification of unemployment could not be obtained by an eligible recipient who has become temporarily unemployable due to illness, injury, or childbirth after registering as unemployed under Article 42, an amount equivalent to the eligible recipient's daily amount of job-seeking benefits under Article 46 (hereinafter referred to as "sickness benefits") may be paid upon request from the eligible recipient in lieu of job-seeking benefits: Provided, That sickness benefits shall not be payable for the period during which job-seeking benefits are suspended under Article 60 (1) and (2). |
| (2) | The maximum number of days of sickness benefits payable to an eligible recipient shall be the eligible recipient's specified number of days of job-seeking benefits payable, less the number of days for which job-seeking benefits, in relation to the benefits for which the recipient is currently eligible, have already been paid. In this case, when applying the provisions of this Act (excluding Articles 61 and 62) to a recipient of sickness benefits paid, the amount of sickness benefits paid shall count toward the amount of job-seeking benefits paid. |
| (3) | Sickness benefits under paragraph (1) shall be paid on the date when job-seeking benefits are to be paid for the first time after the recipient has become employable (or in the absence of such date, a date determined by the director of an employment security center): Provided, That if deemed necessary, such sickness benefits may be payable determined by the Minister of Labor. |
| (5) | With respect to payment of sickness benefits, the provisions of Articles 47, 49, 57, 61 (1) through (3), and 62 apply mutatis mutandis. In this case, the term "period subject to verification of unemployment" in Article 47 shall be construed as "days for which verification of unemployment is obtained." |
Section 3 Employment Promotion Allowances
| Article 64 (Early Re-employment Allowance) |
| (1) | Early re-employment allowance shall be payable to an eligible recipient (excluding foreign workers under Article 2 of the Act on the Employment, etc. of Foreign Workers) who secures a stable job or commences one's own for-profit business and satisfies the criteria set forth by Presidential Decree. |
| (2) | Notwithstanding paragraph (1), early re-employment allowance shall not be payable to an eligible recipient who had received early re-employment allowance in a specified time period preceding the date of securing a stable job or commencing one's own for-profit business as determined by Presidential Decree. |
| (3) | The amount of early re-employment allowance shall be computed in proportion to the remaining number of days of job-seeking benefits payable as prescribed by Presidential Decree. |
| (4) | When applying the provisions of this Act (excluding Articles 61 and 62) to a recipient of early re-employment allowance paid, the amount of early re-employment allowance paid divided by the daily amount of job-seeking benefits under Article 46 counts toward the number of days during which job-seeking benefits have been paid. |
| (5) | Anyone who hires an eligible recipient shall be qualified for incentive grants, as prescribed by Presidential Decree, for contributing to early reemployment and thus reducing the payment period of job-seeking benefits. |
| Article 65 (Vocational Skill Development Allowance) |
| (1) | Vocational skill development allowance shall be payable to an eligible recipient who participates in vocational skills development training or similar required by the director of an employment security center with respect to the period of such training or similar. |
| (2) | Notwithstanding paragraph (1), vocational skill development allowance shall not be payable during a period of suspension of job-seeking benefits under Article 60 (1) and (2). |
| (3) | Necessary matters relating to the requirements for and amount of vocational skill development allowance shall be prescribed by Presidential Decree. In this case, the Minister of Labor may otherwise provide, by public notice, the amount of allowance for vocational skill development pertaining to a specific occupational category as determined necessary in light of current skills needs. |
| Article 66 (Long-Distance Job Search Allowance) |
| (1) | Long-distance job search allowance may be paid, as determined necessary by the director of an employment security center under criteria set by Presidential Decree, to an eligible recipient who conducts a long-distance job search in accordance with guidance by the employment security center. |
| (2) | Long-distance job search allowance shall be for reimbursing an eligible recipient for expenses reasonably incurred to conduct such job search under paragraph (1), and the amount shall be computed as prescribed by Ministerial Decree of Labor. |
| Article 67 (Relocation Allowance) |
| (1) | Relocation allowance may be paid, as determined necessary by the director of an employment security center under the criteria set by Presidential Decree, to an eligible recipient who is required to move to take up a job or participate in vocational skills development training or similar required by the director of the employment security center. |
| (2) | Relocation allowance shall be for reimbursing reasonable relocation expenses for an eligible recipient and his/her dependent relatives to relocate, and the amount shall be computed as prescribed by Ministerial Decree of Labor. |
| Article 68 (Restriction on Payment of Employment Promotion Allowances) |
| (1) | Those who have received, or attempted to receive, unemployment benefits by any false or fraudulent means shall be denied employment promotion allowances from the date when they received, or attempted to receive, such unemployment benefits: Provided, That the same shall not apply to any subsequent eligibility for benefits that may be approved after the departure from employment relevant to such fraudulent claim. |
| (2) | Notwithstanding the main sentence of paragraph (1), if the false or fraudulent means involved relate to a false report or failure to report under Article 47 (1) or any other violation set forth by Presidential Decree, employment promotion allowances shall not be denied: Provided, That if such violations are made on two or more occasions, the main sentence of paragraph (1) shall govern. |
| (3) | Even if those who have received, or attempted to receive, unemployment benefits by any false or fraudulent means are denied employment promotion allowances under paragraph (1) or (2) and thus denied early re-employment allowances, they shall be considered to have received the denied early re-employment allowances for the purposes of applying Article 64 (4) thereto. |
| Article 69 (Provisions Applicable Mutatis Matandis) |
With respect to employment promotion allowances, Articles 57 (1) and (3) and 62 apply mutatis mutandis. In this case, the term "eligible recipients" in Article 57 (1) shall be construed as "persons qualifying for employment promotion allowances."
CHAPTER V CHILD CARE LEAVE BENEFITS OR SIMILAR
Section 1 Child Care Leave Benefits
| Article 70 (Child Care Leave Benefits) |
| (1) | The Minister of Labor shall pay child care leave benefits to an insured worker who has been granted child care leave under Article 19 of the Equal Employment Opportunity and Work-Family Balance Assistance Act on the Equal Employment for Both Sexes for a period of at least 30 days (excluding any period falling within the 90-day period of maternity or paternity leave under Article 74 of the Labor Standards Act) if the insured worker meets all requirements described in the following subparagraphs: <Amended by Act No. 8781, Dec. 21, 2007> |
| 1. | The insured worker's qualifying days in covered employment under Article 41 as of the beginning date of the child care leave shall be at least 180 days; |
| 2. | An insured worker's spouse who is also an insured worker shall not have been granted child care leave for the same child (excluding a period of less than 30 days); and |
| 3. | The insured worker shall apply for child care leave benefits between one month after the beginning date of such child care leave and 12 months after the end date of such leave: Provided, That those who fail to apply for child care leave benefits during that period for any of the reasons set forth by Presidential Decree shall file an application within 30 days after the cause has ceased to exist. |
| (2) | The amount of child care leave benefits under paragraph (1) shall be prescribed by Presidential Decree. |
| (3) | Necessary matters relating to application for and payment of child care leave benefits shall be prescribed by Ministerial Decree of Labor. |
| Article 71 (Verification of Child Care Leave) |
The employer of an insured worker applying for child care leave benefits under Article 70 shall fully cooperate with verification of facts and any other procedures as prescribed by Ministerial Decree of Labor.
| Article 72 (Report of Employment, etc.) |
| (1) | If an insured worker departs from employment or obtains a job (excluding one worked for less than 15 hours per week; hereafter the same shall apply in this Chapter) or receives any money or other remuneration from the employer during a period in which child care leave benefits are received, the insured worker shall report such fact to the director of an employment security center. |
| (2) | The director of an employment security center may, if necessary, investigate any facts or matters relating to departure from employment, work, or remuneration during a period in which child care leave benefits are received. |
| Article 73 (Limitations on Payment of Benefits) |
| (1) | Payment of child care leave benefits shall be discontinued from the date when an insured worker departs from employment or obtains a job during a period in which child care leave benefits are received. |
| (2) | If an insured worker receives any money or other remuneration for child care leave from the employer, the amount of child care leave benefits may be reduced as prescribed by Presidential Decree. |
| (3) | Those who have received, or attempted to receive, child care leave benefits by any false or fraudulent means shall be denied child care leave benefits from the date when they have received, or attempted to receive, such benefits: Provided, That the same shall not apply to subsequent eligibility for child care leave benefits that may be approved after the child care leave relevant to such fraudulent claim. |
| Article 74 (Provisions Applicable Mutatis Mutandis) |
With respect to child care leave benefits, Article 62 shall apply mutatis mutandis. In this case, the term "job-seeking benefits" shall be construed as "child care leave benefits."
Section 2 Maternity or Paternity Leave Benefits or Similar
| Article 75 (Maternity or Paternity Leave Benefits or Similar) |
The Minister of Labor shall, pursuant to Article 18 of the Equal Employment Opportunity and Work-Family Balance Assistance Act, pay maternity or paternity leave benefits, or similar (hereinafter referred to as "maternity or paternity leave benefits, or similar") to an insured worker who has been granted maternity or paternity leave or miscarriage or stillbirth leave under Article 74 of the Labor Standards Act if the insured worker meets all requirements set out in the following subparagraphs: <Amended by Act No. 8781, Dec. 21, 2007> | 1. | The insured worker's qualifying days in covered employment under Article 41 as of the end date of such leave shall be at least 180 days; and |
| 2. | The insured worker shall apply for maternity or paternity leave benefits or similar between one month after the beginning date of such leave (if the employment unit does not qualify under Article 19 (2) as a business with the number of employees and other criteria set forth by Presidential Decree, the date 60 days after the actual beginning date of the leave shall be deemed the beginning date of such leave) and 12 months after the end date of such leave: Provided, That those who fail to apply for maternity or paternity leave benefits, or similar, during that period for any of the reasons set forth by Presidential Decree shall file an application within 30 days after the cause has ceased to exist. |
| Article 76 (Benefit Amount and Period) |
| (1) | Maternity or paternity leave benefits, or similar under Article 75 shall be payable in an amount equal to the insured worker's ordinary wage under the Labor Standards Act (as computed as of the beginning date of the leave) for the period of the applicable leave under Article 74 of the Labor Standards Act: Provided, That if the employing unit does not qualify under Article 19 (2) as a business satisfying the number of employees and other criteria set forth by Presidential Decree, such benefits shall be payable only for the period of the leave after the first 60 days of the leave (such benefit period is not to exceed 30 days). |
| (2) | A minimum and maximum amount of maternity or paternity leave benefits, or similar payable under paragraph (1) may be set as prescribed by Presidential Decree. |
| (3) | Necessary matters relating to application for and payment of maternity or paternity leave benefits, or similar under paragraphs (1) and (2) shall be prescribed by Ministerial Decree of Labor. |
| Article 77 (Provisions Applicable Mutatis Mutandis) |
With respect to maternity or paternity leave benefits, or similar, Articles 62 and 71 through 73 apply mutatis mutandis. In this case, the term "job-seeking benefits" in Article 62 shall be construed as "maternity or paternity leave benefits, or similar," and the term "child care leave" in Articles 71 through 73 shall be construed as "maternity or paternity leave, or miscarriage or stillbirth leave."
CHAPTER VI EMPLOYMENT INSURANCE FUND
| Article 78 (Establishment of Fund and Source of Funds) |
| (1) | The Minister of Labor shall establish the Employment Insurance Fund (hereinafter referred to as the "Fund") to raise and provide financial resources necessary for the insurance programs. |
| (2) | The Fund shall consist of all insurance premiums and payments collected under this Act, all reserve funds and earnings of the Fund, and all other money received from any other source. |
| Article 79 (Administrative and Financial Management of Fund) |
| (1) | The Minister of Labor is responsible for the administrative and financial management of the Fund. |
| (2) | The State Finance Act shall govern the administrative and financial management of the Fund. |
| (3) | The Minister of Labor shall manage the assets of the Fund in the form of or by means of the following subparagraphs: |
| 1. | Deposits with financial institutions; |
| 2. | Deposits in government funds; |
| 3. | Purchase of securities issued or guaranteed by the State, a local government, or a financial institution; |
| 4. | Acquisition and disposition of real property in relation to the operation of the insurance programs or for investment; and |
| 5. | Any other means of investment set forth by Presidential Decree. |
| (4) | The Minister of Labor shall ensure that the administrative and financial management of the Fund under paragraph (1) should realize at least the minimum earnings rate set forth by Presidential Decree. |
| (1) | The Fund shall be used for the following purposes: <Amended by Act No. 8959, Mar. 21, 2008> |
| 1. | Payment of the expenses for the employment security and vocational skills development programs; |
| 2. | Payment of unemployment benefits; |
| 3. | Payment of child care leave benefits and maternity or paternity leave benefits; |
| 4. | Refund of insurance premiums; |
| 5. | Repayment of temporary loans and interest payment; |
| 6. | Payment of contributions to persons who perform by proxy the business activities under this Article and the Insurance Premium Collection Act or who are entrusted with such business activities; and |
| 7. | Payment of any other expenses necessary for the implementation of this Act as determined by Presidential Decree and any expenses incidental to the operation of the programs under subparagraphs 1 and 2. |
| (2) | Necessary matters for the criteria for payment of contributions under paragraph (1) 6, and the use and administration thereof shall be prescribed by Presidential Decree. <Added by Act No. 8959, Mar. 21, 2008> |
| Article 81 (Financial Management Plan of Fund) |
| (1) | The Minister of Labor shall prepare the Fund's annual financial management plan to be reviewed by the Employment Policy Review Committee and the State Council, and then be approved by the President. |
| (2) | The Minister of Labor shall publish, each year, the financial management results of the Fund after review by the Employment Policy Review Committee. |
| Article 82 (Establishment and Maintenance of Fund Accounts) |
| (1) | The Minister of Labor shall establish the accounts of the Fund with the Bank of Korea. |
| (2) | The accounts of the Fund under paragraph (1) shall be maintained as separate accounts for employment security, vocational skills development, and unemployment benefits. |
| Article 83 (Fund Revenues and Expenditures) |
Revenue and expenditure provisions relating to the administrative and financial management of the Fund shall be prescribed by Presidential Decree.
| Article 84 (Reserve Fund) |
| (1) | The Minister of Labor shall maintain an accumulated surplus in excess of the expenditure of the year as a reserve fund against mass unemployment and uncertain employment conditions. |
| (2) | The appropriate level of the reserve fund under paragraph (1) shall be determined after review by the Employment Policy Review Committee. |
| Article 85 (Treatment of Year-End Balance) |
| (1) | Any year-end surplus funds in the Fund shall be transferred to the reserve funds. |
| (2) | Any year-end deficit of the Fund may be covered by the reserve funds. |
The Fund may borrow money from another fund, a financial institution, or any other source if there is, or is expected to be, a shortage of funds to meet the expenditures of the Fund.
CHAPTER VII APPEALS PROCESS
| Article 87 (Review and Further Review) |
| (1) | A person who is dissatisfied with a notice of confirmation of the loss or acquisition of insured status under Article 17 or a determination about unemployment benefits under Chapter IV or about child care leave benefits or maternity or paternity leave benefits under Chapter V (hereinafter referred to as "initial determination") is entitled to file a request for review by an examiner under Article 89, and a person who is dissatisfied with the decision of an examiner is entitled to file a request for further review by the Board of Review under Article 99. |
| (2) | A request for review under paragraph (1) shall be filed within 90 days from the date the applicant becomes aware of a notice of confirmation or a determination under paragraph (1), and a request for further review shall be filed within 90 days from the date the applicant becomes aware that a decision has been made with respect to the applicant's request for further review. |
| (3) | As far as interruption of prescription is concerned, a request for review or further review under paragraph (1) shall be subject to the same rules applicable to judicial review. |
| Article 88 (Designation of Agent) |
Applicants for review or further review are entitled to designate a person falling under any of the following subparagraphs as their agent in addition to a legal agent:
| 1. | The spouse, a lineal ancestor or descendant, or a sibling of the applicant; |
| 2. | An executive or employee, if the applicant is a corporation; |
| 3. | An attorney-at-law or certified labor affairs consultant; and |
| 4. | Any other person who has been permitted by the Board or Review under Article 99 to represent the applicant. |
| Article 89 (Employment Insurance Review Examiner) |
| (1) | Employment insurance review examiners (hereinafter referred to as "examiners") shall be appointed to conduct reviews under Article 87. |
| (2) | Upon receiving a request for review under Article 87 (1), an examiner assigned to review the case shall make a determination within 30 days from filing of the request for review: Provided, That if an examiner fails to make a determination within that time frame due to unavoidable circumstances, an one-time extension of up to ten additional days may be granted. |
| (3) | Necessary matters relating to the qualifications, duties, appointment, and number of examiners shall be prescribed by Presidential Decree. |
| (4) | A party who has good reason not to expect a fair review and determination from the assigned examiner is entitled to request the Minister of Labor to assign an alternative examiner. |
| (5) | Upon the death of an applicant for review, the review process shall be pursued by a surviving family member under Article 57 if the deceased applicant was eligible to receive unemployment benefits or, if not, by the deceased applicant's heir or any other person who succeeds to any right or interest in relation to the initial determination appealed from. |
| Article 90 (Filing of Request for Review) |
| (1) | A request for review under Article 87 (1) shall be directed to an examiner through the employment security center that made the initial determination. |
| (2) | Upon receipt of a request for review, the employment security center shall prepare a written opinion and send it along with the request for review to the assigned examiner within five days from filing of the request for review. |
| Article 91 (Manner of Filing) |
All requests for review shall be presented in writing as prescribed by Presidential Decree.
| Article 92 (Amendment and Declination) |
| (1) | An examiner shall decline a request for review if it has not been filed within the stated time under Article 87 (2) or if the manner in which it has been presented fails to comply with statutory requirements and is impossible to be corrected by amendment. |
| (2) | With respect to any request for review is noncompliant with statutory requirements which may be corrected by amendment, examiners may order the applicant for review to submit an amended request for review within a set period of time: Provided, That if the required amendment is minor, examiners may make amendments ex officio. |
| (3) | If an applicant for review fails to submit an amended request for review within a period of time set under paragraph (2), an examiner shall decline the applicant's request for review by decision. |
| Article 93 (Stay of Effectiveness of Initial Determination) |
| (1) | The filing of a request for review shall not operate to stay the effectiveness of the initial determination involved: Provided, That if an examiner deems urgently necessary for preventing serious harm incurred due to implementation of initial determination, he/she may stay the effectiveness of the initial determination ex officio. |
| (2) | An examiner who decides to stay the effectiveness of an initial determination under the proviso to paragraph (1) shall notify, in writing, the director of the relevant employment security center of the decision and the reason for the decision. |
| (3) | Upon receipt of such notification under paragraph (2), the director of the employment security center shall stay the effectiveness of the initial determination without delay. |
| (4) | The examiner shall notify the applicant for review, in writing, of a decision to stay the effectiveness of any initial determination under paragraph (2) without delay. |
| Article 94 (Powers of Examiners) |
| (1) | Examiners may conduct investigations described in the following subparagraphs, upon request of the applicant for review or ex officio, insofar as they determine that such investigation is necessary for proper consideration of the facts and issues involved in the request for review: |
| 1. | Conduct an in-person hearing with the applicant for review or any other interested person at a time and place designated by an examiner; |
| 2. | Examine documentary and other evidence that an examiner may require the applicant for review or any other interested person to submit; |
| 3. | Seek an independent expert opinion; and |
| 4. | Investigate the workplace or any other place of relevance to the case, making inquiries of the employer, employees, and other interested persons and inspecting documents and other articles on the premises. |
| (2) | When conducting inquiries and inspections described in paragraph (1) 4, examiners shall carry identification and produce it to relevant persons to indicate that they are authorized to engage in such investigation. |
| Article 95 (Reimbursement for Actual Expenses) |
Those who appear in person at a hearing under Article 94 (1) 1 or provide an expert opinion under Article 94 (1) 3 are entitled to reimbursement for actual expenses incurred as determined by the Minister of Labor.
Upon completion of a review, an examiner shall either reverse all or part of the initial determination or dismiss all or part of the request for review.
| Article 97 (Notice of Determination) |
| (1) | All determinations under Article 89 shall be made in writing as prescribed by Presidential Decree. |
| (2) | Upon making a determination, an examiner shall send a certified copy of the determination to the applicant for review and the director of the employment security center that made the initial determination. |
| Article 98 (Effect of Decision) |
| (1) | A determination shall take effect from the date on which a certified copy of the determination is sent to the applicant for review and the director of the relevant employment security center. |
| (2) | A determination shall be binding on the director of the employment security center that made the initial determination. |
| Article 99 (Employment Insurance Board of Review) |
| (1) | The Employment Insurance Board of Review (hereinafter referred to as the "Board of Review") shall be established in the Ministry of Labor to conduct further reviews under Article 87. |
| (2) | The Board of Review shall be comprised of not more than 15 members, including at least one representative of workers and at least one representative of employers. |
| (3) | The members under paragraph (2) shall include two full-time members. |
| (4) | A person may not be appointed a member of the Board of Review if: |
| 1. | The person is an adjudicated incompetent, quasi-incompetent, or bankrupt whose rights have yet to be restored; or |
| 2. | The person has been sentenced to imprisonment without prison labor or heavier, unless three years have passed since completion of the execution of the sentence or since a decision not to execute the sentence became final. |
| (5) | A member may be involuntarily removed from office only if such member is sentenced to punishment or is mentally, physically, or professionally incapable of performing the duties properly. |
| (6) | Full-time members shall not be affiliated with a political party or otherwise involved in politics. |
| (7) | The Board of Review shall make a ruling within 50 days from receiving a request for further review under Article 87 (1). In this case, with respect to extension of the time frame for ruling, Article 89 (2) shall apply mutatis mutandis. |
| (8) | A secretariat shall be established under the Board of Review. |
| (9) | Necessary matters relating to the organization and operation of the Board of Review and its secretariat shall be prescribed by Presidential Decree. |
| Article 100 (Opposing Party in Further Review) |
The opposing party in a request for further review shall be the director of the employment security center that made the initial determination.
| Article 101 (Further Review) |
| (1) | Upon receipt of a request for further review, the Board of Review shall notify the parties and the examiner who made the decision appealed from of the date and location of the further review at least three days before such date. |
| (2) | The parties are entitled to present their views to the Board of Review either orally or in writing. |
| (3) | Further review by the Board of Review shall be conducted open to the public: Provided, That it may be conducted in private if so requested by both or either of the parties. |
| (4) | The Board of Review shall record and maintain the proceedings of all further reviews. |
| (5) | Any of the parties or interested persons are entitled to request to see the proceedings of further reviews maintained under paragraph (4). |
| (6) | The Board of Review shall not deny any request made by a party or interested person under paragraph (5) without justifiable cause. |
| (7) | Articles 94 and 95 shall apply mutatis mutandis to further review. In this case, the term "examiner" shall be construed as "Board of Review", the term "request for review" shall be construed as "request for further review", and the term "applicant for review" shall be construed as "applicant for further review". |
| Article 102 (Provisions Applicable Mutatis Mutandis) |
With respect to the Board of Review and further review, Articles 89 (4) and (5), 91 through 93, and 96 through 98 shall apply mutatis mutandis. In this case, the term "examiner" in Article 89 (4) shall be construed as "member of the Board of Review", the term "determination" in Articles 89 (4), 97, and 98 as "ruling", the term "request for review" in Articles 91, 93, and 96 as "request for further review", the term "examiner" in Articles 93, 96, and 97 as "Board of Review", and the term "applicant for review" in Articles 93, 97, and 98 as "applicant for further review".
A notice of initial determination issued by the director of an employment security center or a certified copy of the determination of an examiner sent under Article 97 (2) shall include information about whether the party or applicant for review is entitled to file a request for review or further review in relation to the initial determination or the determination and about the applicable filing procedures and time frame.
| Article 104 (Relationship with Other Acts) |
| (2) | Matters concerning requests for review and further review that are not prescribed by this Act shall be governed by the Administrative Appeals Act. |
CHAPTER VIII SUPPLEMENTARY PROVISIONS
| Article 105 (Prohibition of Retaliatory Action) |
An employer shall not dismiss, or take any retaliatory action against a worker merely due to the fact the worker has filed a request for confirmation of insured status under Article 17.
| Article 106 (Provisions Applicable Mutatis Mutandis) |
Articles 27 through 30, 32, 39, 41, and 42 of the Insurance Premium Collection Act shall apply mutatis mutandis to the collection of payments under this Act.
| Article 107 (Extinctive Prescription) |
| (1) | Rights to payment or repayment of assistance money, unemployment benefits, child care leave benefits, and maternity or paternity leave benefits, or similar under Chapters III through V shall be extinguished by prescription if those rights are not exercised within three years after they are granted: Provided, That any rights to payment of assistance money under Chapter III that an employer who is exempt from paying insurance premiums under Article 22-3 of the Insurance Premium Collection Act would otherwise be entitled to, shall be considered to have been extinguished as of the first day of the insurance year immediately preceding the employer's first year of insurance. |
>>The amended provisions of the proviso to this paragraph shall be valid until December 31, 2009, pursuant to Article 3 of the Addenda of Act No. 8429, May 11, 2007>>
| Article 108 (Report, etc.) |
| (1) | Whenever the Minister of Labor determines that it is necessary for the enforcement of this Act, including, but not limited to, confirmation of insured status and investigation of fraudulent claims, the Minister of Labor may request the current or previous employer of an insured worker or eligible recipient or the service provider for handling insurance-related matters for such employer under Article 33 of the Insurance Premium Collection Act (hereinafter referred to as a "service provider for insurance matters") to submit necessary reports and relevant documents, and the Minister may also request an interested person to appear in person. |
| (2) | A person departed from employment is entitled to request the former employer's or the employer's service provider for insurance matters to provide any necessary certificates required to receive unemployment benefits. Upon such request, the employer or the service provider for insurance matters shall provide such certificates. |
| (3) | The Minister of Labor may request an insured worker, an eligible recipient, or a claimant for the remaining unemployment benefits to submit necessary reports and relevant documents or to appear in person whenever necessary for the enforcement of this Act, including, but not limited to, confirmation of insured status and investigation of fraudulent claims. |
| Article 109 (Investigation, etc.) |
| (1) | The Minister of Labor may authorize officers of the Ministry of Labor to investigate the workplace of the current or previous employer of an insured worker or an eligible recipient or the office of such employer's service provider for insurance matters, making inquiries of interested persons and inspecting books and documents, insofar as the Minister determines that such investigations are necessary for the enforcement of this Act, including, but not limited to, confirmation of insured status and investigation of fraudulent claims. |
| (2) | Prior to conducting an investigation under paragraph (1), the Minister of Labor shall notify the employer or the service provider for insurance matters of the date, time, purpose, and any other necessary details of the investigation: Provided, That the same shall not apply where the Minister determines that an urgent or unexpected investigation is required to achieve the purposes of such investigation. |
| (3) | When conducting an investigation under paragraph (1), officers shall carry identification and produce it to interested persons. |
| (4) | The Minister of Labor shall notify the employer or the service provider for insurance matters, in writing, of the results of the investigation conducted under paragraph (1). |
| Article 110 (Request for Data and Information) |
| (1) | The Minister of Labor may request any relevant central administrative agency, local government, or public organization to provide data and information necessary for the efficient operation of insurance programs. |
| (2) | Those who receive a request for data or information under paragraph (1) shall comply with such request unless they are unable to do so for justifiable cause. |
| Article 111 (Medical Examination Order) |
The director of an employment security center may order a person who falls under Article 44 (3) 1 and has obtained, or intends to obtain, verification of unemployment under Article 44 (2) or a person who has received, or intends to receive, sickness benefits under Article 63, to undergo a medical examination at a medical institution designated by the Minister of Labor as necessary in connection with payment of unemployment benefits.
| Article 112 (Reward for Reporting Fraud) |
| (1) | The Minister of Labor may, within budgetary constraints, establish a reward program for reporting fraud in connection with insurance programs operated under this Act, including employment security, vocational skills development, unemployment benefits, child care leave benefits, and maternity or paternity leave benefits. |
| (2) | Necessary matters relating to reporting of fraud and payment of reward money under paragraph (1) shall be prescribed by Ministerial Decree of Labor. |
| Article 113 (Special Cases for Self-Employed) |
Notwithstanding Article 8, a self-employed person who qualifies for the income and other requirements set forth by Presidential Decree is entitled to elect coverage under this Act (applicable only to the provisions of Chapter III) by filing an application for coverage as prescribed by the Insurance Premium Collection Act.
| Article 114 (Operation of Pilot Programs) |
| (1) | To ensure the effective operation of insurance programs, the Minister of Labor may operate a pilot program if it is impossible to fully implement a program promptly or if the implementation plans need to be verified before fully launching such program. |
| (2) | The Minister of Labor may provide administrative, financial, technical, and other necessary assistance to the employers, the insured, and vocational skills development facilities that participate in a pilot program provided for in paragraph (1). |
| (3) | The Minister of Labor shall determine and provide public notice of necessary matters relating to applicable participants, target areas, and means of operating a pilot program under paragraph (1) and assistance under paragraph (2). |
| Article 115 (Delegation and Assignment of Powers) |
Some of the powers of the Minister of Labor under this Act may, as prescribed by Presidential Decree, be delegated to the director of an employment security center or assigned to any of the persons specified by Presidential Decree.
CHAPTER IX PENAL PROVISIONS
| Article 116 (Penal Provisions) |
| (1) | An employer who dismisses, or takes any retaliatory action against, a worker in violation of Article 105 shall be punished by imprisonment for not more than three years or by a fine of not more than 10 million won. |
| (2) | A person who receives unemployment benefits, child care leave benefits, or maternity or paternity leave benefits by any false or fraudulent means shall be punished by imprisonment for not more than one year, or by a fine of not more than 3 million won. |
| Article 117 (Fines for Negligence) |
| (1) | A fine for negligence of not more than 3 million won shall be imposed on an employer or any representative, agent, servant, or employee of a service provider for insurance matters who falls under any of the following subparagraphs: |
| 1. | A person who fails to file a report or files a false report in violation of Article 15; |
| 2. | A person who fails to submit proof of departure from employment or who makes and submits a false proof of departure from employment in violation of Article 16 (1); |
| 3. | A person who fails to provide proof of departure from employment in violation of the latter part of Article 16 (2); |
| 4. | A person who fails to comply with a request to submit a report or document under Article 108 (1) or who submits a false report or document in response to such request; |
| 5. | A person who refuses to comply with a request to provide a certificate under Article 108 (2); and |
| 6. | A person who fails to respond to, or makes a false response to, inquiries or who refuses, obstructs, or attempts to evade an investigation conducted under Article 109 (1). |
| (2) | A fine for negligence of not more than one million won shall be imposed on an insured worker, an eligible recipient, or a claimant for the remaining unemployment benefits who falls under any of the following subparagraphs: |
| 1. | A person who violates an order under Article 108 (3) by failing to submit a report or document, submitting a false report or document, or failing to appear in person; and |
| 2. | A person who fails to respond to, or makes a false response to, inquiries or who refuses, obstructs, or attempts to evade an inspection conducted under Article 109 (1). |
| (3) | A fine for negligence of not more than 1 million won shall be imposed on a person who fails to respond, or makes a false response, in a hearing by an examiner or the Board of Review or who refuses, obstructs, or attempts to evade an inspection conducted in relation to a request for review or further review under Article 87. |
| (4) | The Minister of Labor shall impose and collect fines for negligence under paragraphs (1) through (3) as prescribed by Presidential Decree. |
| (5) | Anyone who objects to the imposition of a fine for negligence under paragraph (4) may file an appeal with the Minister of Labor within 30 days from receiving the notice of imposition of such fine for negligence. |
| (6) | If a person on whom a fine for negligence has been imposed under paragraph (4) files an appeal under paragraph (5), the Minister of Labor shall, without delay, notify the court having jurisdiction, and the court so notified shall render its judgment in accordance with the Non-Contentious Case Litigation Procedure Act. |
| (7) | If a person fails to pay a fine for negligence without filing a timely appeal under paragraph (5), such fine for negligence shall be collected in accordance with the procedures for collecting delinquent national taxes. |
| Article 118 (Joint Penal Provisions) |
| (1) | If any representative, agent, servant, or employee of a corporation violates Article 116 in connection with the corporation's business, the corporation shall also be subject to a fine under the relevant Article under which the violator is subject to punishment. |
| (2) | If any agent, servant, or employee of an individual violates Article 116 in connection with the individual's business, the individual shall also be subject to a fine under the relevant Article under which the violator is subject to punishment. |
ADDENDA
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Article 2 (Transitional Measures for Collection of Penalties for Fraud by Vocational Training Providers)
Notwithstanding the amended provisions of the proviso to Article 35 (2), the previous provisions shall apply to a person operating a vocational skills development program who has obtained, or attempted to obtain, assistance by false or fraudulent means before this Act enters into force. Article 3 (Effective Period)
The amendment to the proviso to Article 107 (1) shall be effective only until December 31, 2009. Article 4 (General Transitional Measures for Proceedings by and against Administrative Agencies)
All actions or proceedings commenced by or against an administrative agency under the previous provisions at the time this Act enters into force shall be considered as actions or proceedings by or against an administrative agency under this Act.
Article 5 (Transitional Measures for Penal Provisions and Fines for Negligence)
The previous provisions of penal provisions and fines for negligence shall apply to violations committed before this Act enters into force.
Article 6 Omitted.
Article 7 (Relations with Other Acts and Subordinate Statutes)
Where other Acts and subordinate statutes have cited the previous Employment Insurance Act and the previous provisions thereof at the time this Act enters into force, this Act or the provisions corresponding thereto shall be deemed to have been cited in lieu of the previous provisions, if such provisions corresponding thereto exist in this Act.
ADDENDA<Act No. 8781, Dec. 21, 2007>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 and 3 Omitted.
ADDENDA<Act No. 8959, Mar. 21, 2008>
| (1) | (Enforcement Date) This Act shall enter into force on the date of its promulgation; provided, the amended provisions of Article 10 shall enter into force six months after the date of its promulgation. |
| (2) | (Applicability to Increase of Extended Training Benefits) The amended provisions of Article 54 (2) shall apply to extended training benefits paid for a training period after this Act enters into force. |