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ENFORCEMENT DECREE OF THE ACT ON THE EMPLOYMENT IMPROVEMENT OF CONSTRUCTION WORKERS

Wholly Amended by Presidential Decree No. 20565, Jan. 25, 2008

Amended by Presidential Decree No. 22269, Jul. 12, 2010

Presidential Decree No. 22493, Nov. 15, 2010

Presidential Decree No. 22803, Mar. 30, 2011

Presidential Decree No. 23253, Oct. 26, 2011

Presidential Decree No. 23488, Jan. 6, 2012

Presidential Decree No. 24155, Oct. 29, 2012

Presidential Decree No. 24447, Mar. 23, 2013

Presidential Decree No. 25532, Aug. 6, 2014

Presidential Decree No. 25840, Dec. 9, 2014

Presidential Decree No. 27444, Aug. 11, 2016

Presidential Decree No. 27751, Dec. 30, 2016

Presidential Decree No. 29972, Jul. 9, 2019

Presidential Decree No. 30423, Feb. 18, 2020

Presidential Decree No. 30509, Mar. 3, 2020

Presidential Decree No. 30708, May 26, 2020

Presidential Decree No. 31188, Nov. 24, 2020

Presidential Decree No. 31692, May 18, 2021

 Article 1 (Purpose)
The purpose of this Decree is to prescribe matters delegated by the Act on the Employment Improvement of Construction Workers and matters necessary for the enforcement thereof.
 Article 2 (Definition of Construction Business)
"Construction business prescribed by Presidential Decree" in subparagraph 1 of Article 2 of the Act on the Employment Improvement of Construction Workers (hereinafter referred to as the "Act") means the construction business listed in the Korean Standard Industrial Classification publicly notified by the Commissioner of the Statistics Korea pursuant to the Statistics Act.
 Article 3 (Modification of Important Matters of Master Plans)
"Important matters of the master plan prescribed by Presidential Decree" in the latter part of Article 3 (3) of the Act means the following:
1. Matters concerning vocational training of technical human resources in construction;
2. Matters concerning the installation of employment promotion facilities for construction workers.
 Article 3-2 (Designation of and Reporting on Persons Responsible for Employment Management)
(1) In accordance with the main clause, with the exception of the subparagraphs, of Article 5 (1) of the Act, a business owner shall designate a person to be responsible for employment management by place for business from among the employer defined in Article 2 (1) 2 of the Labor Standards Act or workers working at the relevant place for business. <Amended on Oct. 29, 2012>
(2) "Places for business which do not exceed a scale prescribed by Presidential Decree" in the proviso, with the exception of the subparagraphs, of Article 5 (1) of the Act means places for business where a construction work, the total cost of which is less than two billion won, is being conducted. <Amended on Dec. 9, 2014>
(3) A person responsible for employment management may perform other duties to the extent not hindering the performance of his or her duties prescribed in Article 5 (1) of the Act.
(4) When a business owner files a report on the acquisition of insured status under Article 15 of the Employment Insurance Act, he or she shall also report the name, position, and details of the duties of a person responsible for employment management.
[This Article Newly Inserted on Oct. 26, 2011]
 Article 3-3 (Support for Improvement in Employment of Construction Workers)
Pursuant to Article 7 (2) of the Act, the Minister of Employment and Labor shall entrust the business referred to in the subparagraphs of Article 7 (1) of the Act to any of the following corporations or organizations:
1. The Mutual-Aid Association for Construction Workers under Article 9 of the Act (hereinafter referred to as the "Mutual-Aid Association");
2. The Human Resources Development Service of Korea under the Human Resources Development Service of Korea Act (hereinafter referred to as the "Human Resources Development Service of Korea");
3. Business owners' organization or workers' organization related to construction business which meet the requirements for provision of support for employment under the Employment Security Act or other statutes or regulations, determined and publicly notified by the Minister of Employment and Labor;
4. Other non-profit organizations that the Minister of Employment and Labor determines and publicly notifies to improve employment of construction workers.
(2) Where the Minister of Employment and Labor entrusts business under paragraph (1), he or she shall publish institutions entrusted with such business and the details of affairs entrusted on the website or in the Official Gazette of the Ministry of Employment and Labor.
[This Article Wholly Amended on Jul. 9, 2019]
 Article 4 (Scale of Construction Works Obligated to Build Convenient Facilities Related to Employment)
Construction works for which it is obligatory to build such facilities as lavatories, mess halls, dressing rooms, etc. or to take measures to use such facilities under Article 7-2 of the Act shall be the construction works, the estimated construction cost (where any construction sites are divided into two or more sites, referring to the estimated construction cost of respective site out of the total estimated construction cost) of which is at least 100 million won.
 Article 4-2 (Construction Works Subject to Separate Payment of Wage Costs and Ascertainment)
"Person ... prescribed by Presidential Decree" in the former part of Article 7-3 (1) of the Act means any of the following persons:
1. A public enterprise and quasi-governmental institution under Article 5 of the Act on the Management of Public Institutions;
2. A local government-invested public corporation or local public agency under Article 49 or 76 of the Local Public Enterprises Act.
(2) "Construction work contract of a size equivalent to or larger than that prescribed by Presidential Decree" in the former part of Article 7-3 (1) of the Act means construction works (excluding any construction works the construction period of which does not exceed 30 days), the contract price of which is at least 50 million won according to a contract concluded between a person placing an order and the original contractor.
[This Article Newly Inserted on May 26, 2020]
 Article 4-3 (Classification Based on Skill Levels of Construction Workers and Management of Those Workers)
(1) Construction workers whose skill levels may be calculated by the Minister of Land, Infrastructure and Transport to be used for the purpose of classification and management based on skill under Article 7-4 (1) of the Act shall be as follows:
1. Construction workers who engage or engaged in construction works under subparagraph 4 of Article 2 of the Framework Act on the Construction Industry;
2. Construction workers (excluding electrical construction engineers, information and communications engineers, firefighting engineers, cultural heritage repair engineers, and cultural heritage repair technicians) who engage or engaged in the following construction works:
(a) Electric works under the Electrical Construction Business Act;
(b) Information and communications works under the Information and Communications Construction Business Act;
(c) Firefighting system installation works under the Firefighting System Installation Business Act;
(e) Cultural heritage maintenance works under the Act on Cultural Heritage Maintenance;
(2) Skill levels of construction workers under paragraph (1) shall be classified and managed by consolidated occupational category (referring to construction work-related occupational categories under the subparagraphs of paragraph (1), which shall be governed by the National Skill Standards prescribed in Article 5 of the Framework Act on Qualifications or which require reporting on the number of working days of the beneficiaries under Article 13 of the Act, being consolidated among those with similar job specifications).
(3) The standards for classifying skill levels under Article 7-4 (1) of the Act shall be as follows:
1. Career as a construction worker in the construction works under the subparagraphs of paragraph (1) (referring to the period for acquiring insured status under the employment insurance program under the Employment Insurance Act and the number of working days, etc. of the beneficiaries reported under Article 13 of the Act);
2. Whether the following qualification standards are met:
(a) The person in question shall have a national technical qualification (limited to a master craftsman, industrial engineer, and technician related to construction works) under the National Technical Qualifications Act;
(b) The person in question who has at least three years’ work experience in construction works in lieu of a person who has acquired national technical qualifications under subparagraph 1 (d) of the remarks of attached Table 2 of the Enforcement Decree of the Framework Act on the Construction Industry, and who is recognized by a business operators’ organization, such as an association designated by the Minister of Land, Infrastructure and Transport as capable of performing the work;
3. Whether the person in question completes the following education and training in the field of construction:
(a) Vocational training and educational training under Article 7 (1) 1 of the Act;
(b) Education and training of construction experts under Article 87-2 (2) 2 of the Framework Act on the Construction Industry;
(c) Vocational skills development training that can be confirmed through the information network for developing vocational skills under Article 6 of the Act on the Development of Vocational Skills of Workers;
(d) Education conducted at specialized high schools under Article 91 of the Enforcement Decree of the Elementary and Secondary Education Act;
4. Experience of winning a prize at the skills competitions under the Act on Encouragement of Skilled Crafts or that held by an institution or organization determined and publicly notified by the Minister of Land, Infrastructure and Transport.
(4) The skill levels of construction workers under Article 7-4 (1) of the Act shall be classified into elementary, intermediate, advanced, and superior, according to the standards prescribed in paragraph (3).
(5) Except as provided in paragraphs (1) through (4), detailed matters necessary for calculating skill levels shall be determined and publicly notified by the Minister of Land, Infrastructure and Transport.
[This Article Newly Inserted on May 18, 2021]
 Article 4-4 (Requests for Data)
The data that the Minister of Land, Infrastructure and Transport (including the institutions entrusted pursuant to Article 7-4 (3) of the Act) may request from the related institutions, corporations, organizations, etc. under Article 7-4 (2) of the Act shall be as follows:
1. Mutual Aid association: The number of working days of the beneficiaries reported under Article 13 of the Act;
2. The Korea Employment Information Service under Article 18 of the Framework Act on Employment Policy: Data on the details of work, acquisition of qualifications, vocational skills development training, etc., of construction workers published in the employment information system under Article 15-2 of that Act;
3. The Korea Workers' Compensation and Welfare Service under Article 10 of the Industrial Accident Compensation Insurance Act: Data on construction workers' insured status on employment insurance and details of work of daily construction workers (referring to those who engage or engaged in construction work under the Korean Standard Industrial Classification publicly notified by the Commissioner of the Statistics Korea pursuant to Article 22 (1) of the Statistics Act);
4. Human Resources Development Service of Korea under Article 2 of the Human Resources Development Service of Korea Act: Data on the acquisition of national technical qualifications under the National Technical Qualifications Act and experience of winning a prize at the skills competitions under the Act on the Encouragement of Skilled Crafts;
5. Other institutions, corporations, organizations, etc. determined and publicly notified by the Minister of Land, Infrastructure and Transport: Data necessary to verify whether the relevant institutions, corporations, organizations, etc. meet the standards prescribed in Article 4-3 (3), among data held by the relevant institutions, corporations, organizations, etc.
[This Article Newly Inserted on May 18, 2021]
 Article 4-5 (Entrustment of Affairs)
(1) The Minister of Land, Infrastructure and Transport shall entrust affairs related to classifying and managing construction workers based on skill levels to the Mutual-Aid Association pursuant to Article 7-4 (3) of the Act.
(2) The Mutual-Aid Association may build and operate a skill level management system necessary to perform the affairs entrusted under paragraph (1).
(3) Except as provided in paragraph (2), matters necessary for the procedures, etc. for handling entrusted affairs under paragraph (1) shall be determined and publicly notified by the Minister of Land, Infrastructure and Transport.
[This Article Newly Inserted on May 18, 2021]
 Article 5 (Execution of Mutual Aid Business)
(1) "Mutual-aid association and the organization of business owners related to construction business prescribed by Presidential Decree" in Article 8 of the Act means any of the following persons: <Amended on Jul. 12, 2010; Aug. 11, 2016; Feb. 18, 2020>
1. A constructors' association established under Article 50 of the Framework Act on the Construction Industry;
2. A mutual-aid association established under Article 54 of the Framework Act on the Construction Industry;
3. A housing managers' organization established under Article 85 of the Housing Act;
4. Other mutual-aid associations and business owners' organizations related to construction business established with permission, authorization, etc. granted under other Acts and designated by the Minister of Employment and Labor following consultation with the heads of competent administrative agencies.
(2) "Person who meets the standards prescribed by Presidential Decree" in Article 8 of the Act means a mutual-aid association or business owners' organization referred to in subparagraphs of paragraph (1), where at least one-third of persons eligible to subscribe to the relevant mutual-aid association or business owners' organization are members thereof.
 Article 5-2 (Matters to be Entered in Articles of Association)
Matters to be included in the articles of association of the Mutual-Aid Association under Article 9 (4) of the Act shall be as follows:
1. Objectives;
2. Name;
3. Matters concerning the establishment and operation of the principal office and branch offices;
4. Matters concerning the board of directors of the Mutual-Aid Association (hereinafter referred to as "board of directors");
5. Matters concerning executive officers and employees;
6. Matters concerning composition and organization;
7. Matters concerning internal audit and external audits;
8. Matters concerning the scope and details of business, and the performance thereof;
9. Matters concerning assets and finance;
10. Matters concerning the amendment of the articles of association;
11. Matters concerning the dissolution and disposal of remaining property;
12. Matters concerning the method of public notice;
13. Other matters concerning the operation of the Mutual-Aid Association.
[This Article Newly Inserted on Oct. 26, 2011]
 Article 5-3 (Request for Data)
The Multi-Aid Association may request data related to the issuance of certificates of career from the following institutions pursuant to Article 9-3 (2) of the Act: <Amended on May 26, 2020>
1. The Korea Employment Information Service under Article 18 of the Framework Act on Employment Policy: Inquiry into records on vocational training of construction workers;
2. The Korea Workers' Compensation and Welfare Service under Article 10 of the Industrial Accident Compensation Insurance Act: Inquiry into records on construction workers' insured status under the employment insurance program and their work history;
3. The Human Resources Development Service of Korea: Inquiry into records on whether any qualification certificate is issued to a construction worker;
4. Other institutions deemed to have data inquiry into which is necessary in order to verify the work experience of a construction worker.
[This Article Newly Inserted on Oct. 26, 2011]
 Article 5-4 (Composition of Board of Directors)
(1) The board of directors shall be comprised of the following directors: <Amended on Mar. 23, 2013>
1. The chairperson of the Mutual-Aid Association (hereinafter referred to as the "chairperson");
2. One person in a position each designated by the Minister of Employment and Labor and the Minister of Land, Infrastructure and Transport, respectively, from among public officials who belong to the Senior Executive Service;
3. Not exceeding five persons who are the heads of mutual-aid associations and business owners' organizations related to construction business prescribed by the articles of association of the Mutual-Aid Association;
4. Not exceeding two experts recommended following consultation between the heads of the mutual-aid associations and business owners' associations referred to in subparagraph 3;
5. Not exceeding three experts recommended by the Minister of Employment and Labor and not exceeding three experts recommended by the Minister of Land, Infrastructure and Transport;
6. Not exceeding two experts recommended by a labor union which is a nationwide confederation of organization;
7. Persons who have engaged in the affairs related to construction industry or labor for at least 15 years and are commissioned by the board of directors in recognition of their expertise.
(2) The appointment of directors who fall under paragraph (1) 4 through 7 shall undergo the deliberation and resolution of the board of directors under Article 9-4 (1) 3 of the Act.
(3) The chairperson and directors who fall under paragraph (1) 7 shall work full-time.
(4) An expert referred to in paragraph (1) 4 through 6 shall be any of the following persons:
1. Any person who has majored in studies related to the construction industry, social insurance, labor, or finance, and has served as at least an associate professor, associate research commissioner or holds a position corresponding thereto at a college referred to in subparagraphs 1 through 6 of Article 2 of the Higher Education Act or at a government-invested research institution defined in Article 2 of the Act on the Establishment, Operation and Fostering of Government-Funded Research Institutes;
2. Any person who has served as a lawyer or certified public accountant for at least three years with the qualifications therefor;
3. Any person who has performed research in a field related to construction industry or construction labor at a private research institute for at least three years;
4. Any person who has performed affairs related to construction industry or construction labor for at least three years at a non-profit corporation.
[This Article Newly Inserted on Oct. 26, 2011]
 Article 5-5 (Operation of Board of Directors)
(1) A meeting of the board of directors shall be convoked by the chairperson of the board of directors (hereinafter referred to as the "chairperson") when he or she deems it necessary or if requested by at least one third of incumbent directors.
(2) The resolution of a meeting of the board of directors shall require the attendance of a majority of all incumbent members and the consent of a majority of those present.
(3) Where necessary to perform its duties, the board of directors may request any executive, employee, etc. of the Mutual-Aid Association to appear, submit data or state their opinions.
(4) If the chairperson is unable to perform any of his or her duties due to any extenuating circumstance, a director designated by the chairperson shall act on behalf of him or her.
(5) Matters necessary for the operation of the board of directors, other than those prescribed in paragraphs (1) through (4), shall be prescribed by the articles of association.
[This Article Newly Inserted on Oct. 26, 2011]
 Article 6 (Persons subject to Ipso Facto Subscription to Mutual-Aid for Retirement)
"Construction works prescribed by Presidential Decree" in the former part of Article 10 (1) of the Act means electrical construction works under the Electrical Construction Business Act, an information and communications construction work under the Information and Communications Construction Business Act, a firefighting system installation work under the Firefighting System Installation Business Act, or a cultural heritage repair work under the Act on Cultural Heritage Maintenance Works, which falls under any of the following: <Amended on Oct. 26, 2011; May 26, 2020>
1. A construction work order for which is placed by the State or a local government and the estimated cost (in the case of a continuous long-term contract under Article 21 of the Act on Contracts to Which the State Is a Party or Article 24 of the Act on Contracts to Which a Local Government Is a Party, referring to the estimated cost of the relevant work; hereafter in this Article the same shall apply) of which is at least 100 million won;
2. A construction work order for which is placed by a corporation the State or a local government invested in or contributed to (including a corporation in which the relevant corporation has reinvested at least 50 percent of the paid-in capital), the estimate cost of which is at least 100 million won;
3. A public-private partnership project under subparagraph 6 of Article 2 of the Act on Public-Private Partnerships in Infrastructure, the estimated cost of which is at least 100 million won;
4. A construction work, the estimated cost of which is at least five billion won.
 Article 7 (Criteria for Approval of Mutual-Aid Association)
The criteria for approval of an application under which the Mutual-Aid Association approves the application of an original contractor to deem a subcontractor as the business owner under the latter part of Article 10 (1) of the Act shall be as follows: <Amended on Oct. 26, 2011; Feb. 18, 2020; Nov. 24, 2020>
1. The subcontractor shall be any of the following persons:
(a) A constructor under the Framework Act on the Construction Industry;
(b) A constructor under the Electrical Construction Business Act;
(c) An information and communications construction business operator under the Information and Communications Construction Business Act;
(d) A firefighting system business operator under the Firefighting System Installation Business Act;
(e) A cultural heritage repair business entity under the Act on Cultural Heritage Maintenance;
2. The cost of the subcontract works shall be at least one billion won;
3. Matters concerning the payment of mutual-aid installments between the original contractor and the subcontractor, shall be stipulated in the subcontract;
4. Amount incurred in subscribing to the retirement mutual-aid shall be stipulated on the calculation statement of subcontract amount.
 Article 8 (Subscription to Retirement Mutual Aid Scheme)
(1) "Date of commencement of such construction work" in the former part of Article 10 (1) of the Act means the actual commencement date of the relevant construction works.
(2) "Date of completion of construction works" in Article 10 (5) of the Act means the actual completion date of the relevant work.
 Article 9 (Submission of Certificate of Payment of Mutual-Aid Installments)
A person who has placed an order for construction works under Article 10 (1) of the Act or a person authorized to approve a project plan under Article 15 (1) of the Housing Act (hereinafter referred to as "person placing an order, etc.") may request the business owner of the construction work to submit a certificate of payment of mutual-aid installments issued by the Mutual-Aid Association.
[This Article Wholly Amended on Nov. 24, 2020]
 Article 10 (Requirements for Voluntary Subscription to Retirement Mutual Aid Scheme)
"Business owner who meets the requirements prescribed by Presidential Decree" in the former part of Article 10 (2) of the Act means any of the following persons: <Amended on Oct. 26, 2011; Feb. 18, 2020>
1. A constructor under the Framework Act on the Construction Industry;
2. A constructor under the Electrical Construction Business Act;
3. An information and communications construction business operator under the Information and Communications Construction Business Act;
4. A firefighting system business operator under the Firefighting System Installation Business Act;
5. A cultural heritage repair business entity under the Act on Cultural Heritage Maintenance.
 Article 10-2 (Amounts of Subscription to Retirement Mutual Aid Scheme)
(1) The amount required to subscribe to the retirement mutual aid scheme under Article 10-3 of the Act shall be the following amounts:
1. Mutual aid installments under Article 13 (2) of the Act;
2. The amount incurred in installing and operating an electronic card terminal under Article 12-2 (3).
(2) If the amount required to subscribe to the retirement mutual aid scheme as specified in the calculation statement of the contract price (referring to the amount actually paid by the person placing an order, if the amount stated in the calculation statement is different from the amount actually paid by him or her) pursuant to Article 10-3 (1) of the Act exceeds the amount the business owner who has subscribed to the retirement mutual aid scheme (hereinafter referred to as "business owner who subscribes to the aid scheme") has actually paid to enroll in the retirement mutual aid scheme, the parties to the contract for construction works shall settle the excess amount.
[This Article Newly Inserted on Nov. 24, 2020]
 Article 11 (Scope of Persons Unable to Become Beneficiaries)
"Person prescribed by Presidential Decree" in subparagraph 2 of Article 11 of the Act means any of the following persons:
1. A regular worker employed without a fixed period;
2. A worker employed for fixed period of at least one year.
 Article 12 (Mutual-Aid Installments)
(1) Where the business owner who has subscribed to mutual-aid reports on the number of working days of the beneficiaries to the Mutual-Aid Association every month pursuant to Article 13 (1) of the Act, he or she shall also submit a document (including electronic documents) verifying that he or she has paid mutual-aid installments, specifying the amount of the mutual-aid installments paid.
(2) The amount of the mutual-aid installment shall be determined by the Mutual-Aid Association after approval from the Minister of Employment and Labor and shall be at least 5,000 won but not more than 10,000 won per day.
(3) Where the Mutual-Aid Association has formulated a business operation plan that affects mutual-aid installments and the operating profit thereof, it shall submit such plan to the Minister of Employment and Labor for approval.
[This Article Wholly Amended on Nov. 24, 2020]
 Article 12-2 (Issuance of Electronic Cards for Reporting on Number of Working Days of Beneficiaries)
(1) "Workplace not smaller than a particular size prescribed by Presidential Decree" in Article 13 (4) of the Act means the following workplaces:
1. A workplace for construction work for which a business owner ipso facto becomes a subscriber to the retirement mutual-aid scheme under the former part of Article 10 (1) of the Act;
2. A workplace for construction work for which a subcontractor approved by the Mutual-Aid Association pursuant to the latter part of Article 10 (1) of the Act and Article 7 of this Decree is contracted.
(2) The business owner of a workplace under paragraph (1) shall issue an electronic card to the beneficiary through an electronic card issuing agency designated by the Mutual-Aid Association.
(3) The business owner of a workplace under paragraph (1) (referring to the original contractor, if the business is performed according to several tiers of contract) shall install and operate an electronic card terminal designated by the Mutual-Aid Association to enable the beneficiaries to use the electronic card.
(4) A beneficiary shall record the time of his or her arriving at and leaving work using an electronic card on an electronic card terminal under paragraph (3): Provided, That where there is any unavoidable cause making it impossible to use an electronic card temporarily, such as the period taken for the issuance and reissuance of the electronic card and a failure to carry the electronic card, the time of arriving at and leaving may be recorded by programming the electronic card terminal to recognize the sensitive information specified in subparagraph 3 of Article 18 of the Enforcement Decree of the Personal Information Protection Act (limited to cases where the business owner who has subscribed to mutual-aid has collected information with the consent of the beneficiary for the purpose of recording the number of working days of the beneficiary) .
[This Article Newly Inserted on Nov. 24, 2020]
[Previous Article 12-2 moved to Article 12-3 <Nov. 24, 2020>]
 Article 12-3 (Special Cases concerning Payment of Mutual Aid Installments)
(1) "Causes prescribed by Presidential Decree, such as bankruptcy" in the former part of Article 13-2 (1) 2 of the Act means any of the following cases:
1. Declaration of bankruptcy under the Debtor Rehabilitation and Bankruptcy Act;
2. Decision to commence rehabilitation procedures under the Debtor Rehabilitation and Bankruptcy Act;
3. A resolution to commence joint administrative proceedings under the Corporate Restructuring Promotion Act;
4. Other cases where the Minister of Employment and Labor deems it impracticable for a business owner to pay a mutual-aid installment.
(2) Where the business owner who has subscribed to the mutual-aid or the contractee is unable to pay mutual-aid installments due to any of the causes prescribed in the subparagraphs of paragraph (1), he or she shall notify the Mutual-Aid Association of such fact, as prescribed by Ordinance of the Ministry of Employment and Labor.
(3) Where the liability of the contractee to pay mutual-aid installments changes due to any of the following causes, the business owner who has subscribed to mutual-aid or the contractee shall notify the Mutual-Aid Association of such fact, as prescribed by Ordinance of the Ministry of Employment and Labor:
1. Amendment or abrogation of the agreement under Article 13-2 (1) 1 of the Act (limited to cases where the contractee issues notification);
2. Revocation or change of the cause under any subparagraph of paragraph (1);
3. The contractee who pays the amount under Article 10-3 of the Act to the business owner who has subscribed to the mutual aid (limited to cases where the business owner who has subscribed to the mutual aid issues notification).
(4) The contractee who is notified of the incurrence of an obligation to pay mutual-aid installments under the latter part, with the exception of the subparagraphs, of Article 13-2 (1) of the Act shall pay the relevant mutual-aid installments by no later than the 10th day of the month following the month in which the business owner who has subscribed to the mutual-aid shall pay mutual-aid installments pursuant to Article 12: Provided, That the contractee may pay the first mutual-aid installment which he or she should pay on behalf of the relevant business owner, within 30 days from the date he or she receives such notification.
[This Article Newly Inserted on May 26, 2020]
[Moved from Article 12-2 <Nov. 24, 2020>]
 Article 13 (Payment of Mutual-Aid Money for Retirement)
(1) The amount of mutual aid money for retirement under Article 14 (1) of the Act shall be an amount calculated by adding interest to the amount of mutual-aid installments paid under Article 12 (including mutual-aid installments subsidized under Article 7 (5) of the Act, but excluding additional money; hereinafter the same shall apply). <Amended on Oct. 26, 2011>
(2) Where any beneficiary who has paid mutual-aid installments for at least 48 months retires from construction business, the Mutual-Aid Association may pay him or her special mutual-aid money for retirement determined by the Mutual-Aid Association in addition to the mutual-aid money for retirement calculated under paragraph (1), after obtaining approval from the Minister of Employment and Labor. <Amended on Jul. 12, 2010>
(3) The Mutual-Aid Association shall pay mutual-aid money for retirement and special mutual aid money for retirement in a lump sum.
 Article 14 (Calculation Methods of Mutual-Aid Money for Retirement)
(1) The interest rate which forms the basis of application in calculating interest under Article 13 (1) (hereinafter referred to as "basic interest rate") shall be the earnings rate calculated based upon the operating profit, etc. of mutual-aid installments accrued in each year: Provided, That where no basic interest rate is finalized, the basic interest rate of the previous year shall apply.
(2) The interest under Article 13 (1) shall be compounded monthly by applying monthly basic interest rate of the relevant year. In such cases, the period for calculating interest shall be from the payment date of a mutual-aid installment to the date on which the payment of mutual-aid money for retirement is requested.
(3) The Mutual-Aid Association shall publicly notify the monthly basic interest rate of each year by not later than the end of February of the following year. <Amended on Jul. 12, 2010>
 Article 15 (Return of Mutual-Aid Money for Retirement Received by Illegal Means)
The amount which can be requested to be returned under Article 16 (1) of the Act shall be double the amount deemed received by false or other unlawful means out of the amount received as mutual-aid money for retirement.
 Article 16 (Entrustment of Receipt of Mutual-Aid Money for Retirement)
(1) Where a person eligible to receive mutual-aid money for retirement under Article 20 (2) of the Act is unable to receive the mutual-aid money for retirement directly, due to any injury or disease, he or she may entrust any of his or her family members to receive it.
(2) If a person entrusted to receive mutual-aid money for retirement under paragraph (1) intends to receive it, he or she shall submit documents evidencing his or her family relations and the fact that he or she is entrusted to receive the mutual-aid money for retirement to the Mutual-Aid Association.
(3) Where any entrustment to receive mutual-aid money for retirement has been granted under paragraph (1), the Mutual-Aid Association shall verify to a person who has the right to receive the relevant mutual-aid money for retirement, as whether he or she has granted the entrustment.
 Article 17 (Entrustment of Affairs)
(1) The Mutual-Aid Association may, after obtaining approval from the Ministry of Employment and Labor, assign a bank defined in Article 2 (1) 2 of the Banking Act or a communications agency to perform the following affairs on its behalf: <Amended on Jul. 12, 2010; Nov. 15, 2010; May 26, 2020>
1. Payment of mutual-aid money for retirement under Article 14 (1) of the Act;
2. Receipt of reports claiming mutual aid-money for retirement under Article 15 (1) of the Act;
3. Receipt of mutual-aid installments under Article 12 (1).
(2) The Mutual-Aid Association may pay agency commission to an institution that performs the affairs specified in the subparagraphs of paragraph (1).
 Article 18 (Request for Report)
(1) Requests for reports and submission of data under Article 23 (1) of the Act shall be made in writing.
(2) In issuing an order for improvement under Article 23 (3) of the Act, the recipient shall be requested to take improvement measures within two months, and the period may be extended only once in extenuating circumstances. <Amended on Oct. 26, 2011>
 Article 19 (Delegation of Authority)
The Minister of Employment and Labor shall delegate the following authority to the heads of regional labor offices under Article 6 of the Government Organization Act: <Amended on Jul. 12, 2010>
1. Requesting business owners and the Mutual-Aid Association to file reports and to submit data, and issuing corrective orders and giving other necessary instructions thereto under Article 23 (1) of the Act;
2. Imposition of administrative fines on business owners and the Mutual-Aid Association and the collection thereof under Article 26 of the Act.
 Article 19-2 (Management of Personally Identifiable Information)
The Minister of Employment and Labor (including persons to whom part of business is entrusted or re-entrusted under Article 7 (2) of the Act), the Minister of Land, Infrastructure and Transport, or the Mutual-Aid Association (including persons entrusted to perform business under Article 9-2 (4) of the Act and those who perform affairs on its behalf) may manage data, which include the resident registration numbers or alien registration numbers under subparagraph 1 or 4 of Article 19 of the Enforcement Decree of the Personal Information Protection Act, if unavoidable to perform the following affairs: <Amended on Nov. 24, 2020; May 18, 2021>
1. Affairs relating to the improvement of employment management, stabilization of employment and development and enhancement, etc. of vocational abilities of construction workers under the subparagraphs of Article 7 (1) of the Act;
2. Affairs relating to the ascertainment of matters notified pursuant to Article 7-3 (3) of the Act;
2-2. Affairs relating to the classification based on skill levels of construction workers and management of those workers under Article 7-4 of the Act (including affairs relating to requests for data under paragraph (2) of that Article) and issuance of the skill level certificate under Article 7-5 of the Act;
3. Affairs relating to loans to the beneficiaries under Article 9-2 (1) 4 of the Act;
4. Affairs relating to welfare promotion business for construction workers under Article 9-2 (1) 6 of the Act;
5. Affairs relating to business for the stability of employment of construction workers and the development and elevation of their vocational abilities, and support for finding jobs under Article 9-2 (1) 6-2 of the Act;
6. Affairs relating to the issuance of certificates of career under Article 9-3 of the Act;
7. Affairs relating to deeming a subcontractor to be the business owner under the latter part of Article 10 (1) of the Act;
8. Affairs relating to approval for subscription to the retirement mutual aid scheme under Article 10 (2) of the Act;
9. Affairs relating to reporting on the establishment of mutual aid relationship under Article 10-4 of the Act;
10. Affairs relating to receipt of a report on the number of working days of beneficiaries a under Article 13 (1) and (3) of the Act;
11. Affairs relating to receipt of mutual aid installments under Articles 13 (1) and 13-2 (1) of the Act;
11-2. Affairs relating to the confirmation of the number of working days of beneficiaries through the issuance and use of electronic cards under Article 13 (4) of the Act;
12. Affairs relating to the payment of mutual-aid money for retirement and the receipt of documents claiming payment thereof under Articles 14 and 15 (1), respectively, of the Act;
13. Affairs relating to requests for return of the mutual aid money for retirement under Article 16 of the Act;
14. Affairs relating to notice of subscription to the retirement mutual-aid scheme, etc. to beneficiaries under Article 19 (3) of the Act;
15. Affairs relating to notice of mutual-aid money for retirement to the bereaved family members of the beneficiary under Article 19-2 of the Act;
16. Affairs relating to requests to provide data under Article 23-2 (1) and (2) of the Act.
[This Article Wholly Amended on May 26, 2020]
 Article 19-3 Deleted. <Mar. 3, 2020>
 Article 20 (Criteria for Imposition of Administrative Fines)
The criteria for imposition of administrative fines under Article 26 (1) through (3) of the Act shall be as specified in attached Table 2. <Amended on May 18, 2021>
[This Article Wholly Amended on Mar. 30, 2011]
ADDENDA <Presidential Decree No. 20565, Jan. 25, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on January 28, 2008.
Article 2 (Applicability to Obligation to Build, etc. of Convenient Facilities Related to Employment)
The amended provisions of Article 4 shall begin to apply from construction works for which the first contract is concluded after this Decree enters into force.
Article 3 (Applicability to Persons subject to Subscription to Retirement Mutual Aid Scheme)
The amended provisions of Article 6 shall begin to apply from construction works for which a bidding announcement is made after this Decree enters into force (where no bidding announcement is made, referring to construction works for which the first contract is concluded).
ADDENDA <Presidential Decree No. 22269, Jul. 12, 2010>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Article 2 Omitted.
ADDENDA <Presidential Decree No. 22493, Nov. 15, 2010>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 18, 2010.
Articles 2 through 5 Omitted.
ADDENDA <Presidential Decree No. 22803, Mar. 30, 2011>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 1, 2011.
Article 2 (Transitional Measures concerning Criteria for Imposition of Administrative Fines)
(1) In applying the criteria for imposition of administrative fines for a violation committed before this Decree enters into force, the former provisions shall apply, notwithstanding the amended provisions of the attached Table.
(2) Imposition of administrative fines for a violation committed before this Decree enters into force shall not be included in calculating the number of violations under the amended provisions of the attached Table.
ADDENDA <Presidential Decree No. 23253, Oct. 26, 2011>
Article 1 (Enforcement Date)
This Decree shall enter into force on October 26, 2011.
Article 2 (Applicability to Persons subject to Ipso Facto Subscription to Retirement Mutual Aid Scheme)
The amended provisions of Article 6 shall begin to apply from construction works for which the first bidding announcement is made after this Decree enters into force (where no bidding announcement is made, referring to construction works for which a contract is concluded).
Article 3 (Special Provisions on Chairperson and Board of Directors)
(1) The chairperson and the senior executive director appointed under the former articles of association of the Mutual-Aid Association as at the time this Decree enters into force shall be deemed the chairperson under the amended provisions of Article 5-4 (1) 1 and a director under the amended provisions of Article 5-4 (1) 7. In such cases, their term of office shall be the remaining period of their former term of office, respectively.
(2) The amended provisions of Article 5-4 (2) shall not apply to the first board of directors organized after this Decree enters into force.
(3) Notwithstanding the amended provisions of Article 5-5 (1), a meeting of the first board of directors called after this Decree enters into force shall be convoked by the chairperson.
Article 4 (Transitional Measures concerning Criteria for Imposition of Administrative Fines)
Notwithstanding the amended provisions of subparagraph 3 (c) of the attached Table, acts done before this Decree enters into force shall be subject to the former provisions.
ADDENDA <Presidential Decree No. 23488, Jan. 6, 2012>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Article 2 Omitted.
ADDENDA <Presidential Decree No. 24155, Oct. 29, 2012>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 1, 2012. (Proviso Omitted.)
Articles 2 through 7 Omitted.
Article 8 (Transitional Measures concerning Amendment to the Enforcement Decree of the Act on the Employment Improvement, etc. of Construction Workers)
Persons responsible for employment management designated under the former provisions of the proviso of former Article 3-2 (1) of the Enforcement Decree of the Act on the Employment Improvement of Construction Workers, as at the time this Decree enters into force, shall be deemed designated under the amended provisions of Article 3-2 (1) of the same Decree.
Articles 9 through 11 Omitted.
ADDENDA <Presidential Decree No. 24447, Mar. 23, 2013>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 and 3 Omitted.
ADDENDUM <Presidential Decree No. 25532, Aug. 6, 2014>
This Decree shall enter into force on August 7, 2014.
ADDENDA <Presidential Decree No. 25840, Dec. 9, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on January 1, 2015.
Article 2 (Applicability to Amendment to the Enforcement Decree of the Act on the Employment Improvement of Construction Workers)
The amended provisions of Article 3-2 (2) of the Enforcement Decree of the Act on the Employment Improvement of Construction Workers shall apply beginning with the first place of work where construction works commence after this Decree enters into force.
Article 3 through 16 Omitted.
ADDENDA <Presidential Decree No. 27444, Aug. 11, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on August 12, 2016.
Article 2 through 8 Omitted.
ADDENDA <Presidential Decree No. 27751, Dec. 30, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on January 1, 2017. (Proviso Omitted.)
Article 2 through 12 Omitted.
ADDENDUM <Presidential Decree No. 29972, Jul. 9, 2019>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 30423, Feb. 18, 2020>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 through 5 Omitted.
ADDENDUM <Presidential Decree No. 30509, Mar. 3, 2020>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 30708, May 26, 2020>
Article 1 (Enforcement Date)
This Decree shall enter into force on May 27, 2020.
Article 2 (Applicability to Persons subject to Ipso Facto Subscription to Retirement Mutual-Aid Scheme)
The amended provisions of Article 6 shall begin to apply to construction works for which a person placing an order publicly announces matters relating to bidding (referring to the time of conclusion of a contract where no bidding announcement is made) after this Decree enters into force.
Article 3 (Applicability concerning Amount of Mutual-Aid Installment Payment per Day)
The amended provisions of Article 12 (2) shall begin to apply to construction works for which a person placing an order publicly announces matters relating to bidding (referring to the time of conclusion of the relevant contract if no announcement relating to bidding is made) after the date the amount of mutual-aid installment payment per day becomes applicable once the Minister of Employment and Labor approves such amount under the same amended provisions.
Article 4 (Transitional Measures concerning Imposition of Administrative Fines)
No disposition to impose administrative fines for any violation committed before this Decree enters into force shall be included in calculating the number of violations prescribed in the amended provisions of subparagraph 3 (b), (h), and (j) of attached Table 3.
ADDENDA <Presidential Decree No. 31188, Nov. 24, 2020>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 27, 2020.
Article 2 (Applicability to Workplaces Eligible for Issuance of Electronic Cards)
(1) The amended provisions of Article 12-2 shall begin to apply to workplaces for construction works for which a person placing an order makes a bidding announcement (where no bidding announcement is made, referring to the time of conclusion of the contract) after the enforcement date in accordance with the estimated cost of each construction work classified as follows:
1. Construction works under Article 83 (1) 1, 2, 2-2, and 4 of the Enforcement Decree of the Framework Act on the Construction Industry and construction works under subparagraphs 1 through 3 of Article 6 of this Decree: The dates classified as follows:
(a) Construction works, the estimated cost of which (referring to the estimated cost of relevant construction works in cases of the construction works contract for which is renewed every year based on a continuous long-term contract under Article 21 of the Act on Contracts to Which the State Is a Party or Article 24 of the Act on Contracts To Which a Local Government Is a Party; hereafter in this Article the same shall apply) is at least 10 billion won: November 27, 2020;
(b) Construction works, the estimated cost of which is at least five billion won but less than 10 billion won: July 1, 2022;
(c) Construction works, the estimated cost of which is at least 100 million won but less than five billion won: January 1, 2024;
2. Construction works under Article 83 (1) 3 and 5 through 7 of the Enforcement Decree of the Framework Act on the Construction Industry and construction works under subparagraph 4 of Article 6 of this Decree: The following dates:
(a) Construction works, the estimated cost of which is at least 30 billion won: November 27, 2020;
(b) Construction works, the estimated cost of which is at least 10 billion won but less than 30 billion won: July 1, 2022;
(c) Construction works, the estimated cost of which is at least five billion won but less than 10 billion won: January 1, 2024;
(2) Paragraph (1) shall apply to construction works contract for which is awarded to a subcontractor eligible for issuance of an electronic card pursuant to Article 12-2 (1) 2, based on the estimated cost of the construction works contract for which is awarded to the relevant original contractor by the person placing an order.
Article 3 (Transitional Measures concerning Criteria for Imposition of Administrative Fines)
No disposition to impose administrative fines for any violation committed before this Decree enters into force shall be included in calculating the number of violations prescribed in the amended provisions of subparagraph 3 (a) and (m) through (o) of attached Table 3.
ADDENDUM <Presidential Decree No. 31692, May 18, 2021>
This Decree shall enter into force on May 27, 2021.