Treatment of Korean Part-time Employees under Korean Labor Standards Act

The Korean Labor Standards Act (“LSA”) provides robust protections for employees. For instance, the Korean LSA mandates employers to provide severance pay, annual leave of at least 15 days to eligible employees, and in many cases employment security. However, these obligations differ significantly when it comes to part-time employees (work less than 15 hours per week).

Exemptions from Korean Labor Standards Act for Part-Time Employees in Korea

For part-time employees under Korean Law are defined, in short, as any worker working fewer than 15 hours per week. For these employees, employers are not required to fulfill the same obligations as they do for full-time employees and employees that work 15 or more hours in a week.

Part-time Employee Exemptions

1. No Entitlement to Annual Leave
   According to Article 18(3) of the Labor Standards Act, employers are not required to grant annual leave to employees who work less than 15 hours per week. (Paid Leave in Korea)
2. No Obligation to Pay Severance
   As per Article 4(1) of the Act on the Guarantee of Employees’ Retirement Benefits, employers are not obligated to provide severance pay to employees working under 15 hours per week.

For employers, understanding these distinctions is crucial when hiring part-time workers to ensure compliance with the law while structuring contracts appropriately. If you need guidance on hiring employees in Korea or managing labor compliance domestically or overseas, feel free to contact IPG Legal for assistance in Labor & Employment Law.

by Mina KIM (Korean Attorney-at-Law)
IPG LEGAL, Seoul, Republic of Korea Office

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