Employment law in Korea is highly regulated and features an employee-protective system, characterized by employee-protective jurisprudence. Companies doing business in Korea must carefully navigate this framework, and one of the most important legal obligations is the preparation, filing, and enforcement of employment rules (취업규칙). For foreign-invested companies doing business in Korea, this process often requires more than a translation of a global handbook. Korean courts and regulators expect rules that reflect local labor law and practice. This article provides an overview of what employers need to know.
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Utilization of Korean Accountants in Termination of Employees for Urgent Managerial Need in Korea
IPG Legal has used accountants to opine that the Korean layoff of an employee is for urgent managerial need in all cases we were involved in regarding the layoff of Korean workers. We have often been questioned by clients about whether the extra expense is necessary. Yes, the expense is necessary, and here is why. For additional articles in Korean Labor & Employment Law, please see: IPG Legal’s Korean Labor & Employment Law Archive. Why You Should Utilize an Accountant Before Claiming an Urgent Managerial/Business Necessity Under Article
Continue readingKorean Court Confirms Covid-19 Vaccination Injury and Compensation under Korea Workers’ Compensation System
A Korean appellate court ruled that a hospital employee who developed Guillain-Barré syndrome and nerve paralysis after receiving a COVID-19 vaccine should be recognized as having suffered an occupational injury that is compensable under Korea’s Workers’ Compensation Benefit System. The Seoul High Court ruled in favor of the Plaintiff in an appeal of a lawsuit denying benefits by the Korea Workers’ Compensation and Welfare Service. Korea’s COVID-19 Vaccine Workers’ Compensation Occupational Injury Case Holding of the Court of First Instance The Plaintiff filed an administrative lawsuit to
Continue readingKorean Supreme Court Rules that Samsung C&T Must Fulfill Collective Bargaining Obligations with Korean Metal Workers’ Union
The Supreme Court of South Korea has issued a landmark ruling requiring Samsung C&T to fulfill its collective bargaining obligations under law with the Samsung branch of the Korean Metal Workers’ Union (“Samsung Union”) for the period between 2011 and 2020. This decision clarifies the invalidity of the “Everland Union,” a counter-union created by Samsung C&T management, and enforces the company’s duty to engage in good faith collective bargaining with the Samsung Union. For more articles on Korean Labor Law, please see: IPG Legal’s Labor & Employment Law
Continue readingKorean Human Resources and Labor Law Policy Shifts under President Jae Myung LEE Administration
We shall, under the President Lee Administration, see more labor-friendly laws and policies. Here is a list of the most noteworthy issues that are being talked about among the legal and business communities in Korea. For more articles on Korean Labor Law, please see: IPG Legal’s Labor & Employment Law Archive. Individual Labor Relations Amendments in Korea under the President Lee Administration The administration’s labor policy platform introduces several core changes likely to affect employment terms and workplace compliance obligations. Key developments include: 1. Abolition of the
Continue readingThe “Yellow Envelope Act” of Korea: Key Legal & Policy Considerations in Korea’s Proposed Labor Reform
The so‑called Yellow Envelope Act is a pending amendment (update: law was passed in August 2025) to Articles 2 and 3 of Korea’s Trade Union and Labor Relations Adjustment Act, currently under active deliberation in the Korean National Assembly. The amendments are supported by the Democratic Party of Korea (DPK) and labor unions. The bill seeks to expand union protections and significantly limit employers’ ability to pursue damages claims against workers for strike‑related losses. The amendment is named after civic donations made in yellow envelopes to support
Continue readingKorean Administrative Court Rules Legal Executive Not a “Worker” Under Korean Labor Standards Act
The Seoul Administrative Court dismissed a lawsuit claiming unfair dismissal by an in-house counsel and registered director in a landmark decision impacting the classification of high-ranking/high-paid corporate officials as “workers” under the Korean Labor Standards Act. The Seoul Administrative Court held that an in-house attorney who concurrently served as a registered director and earned over KRW 700 million annually is not considered a “worker” under the Labor Standards Act of Korea. IPG Legal successfully represented company executives in cases of unfair dismissal and successfully defended foreign capital-invested companies against similar
Continue readingWhat are the Risks of Changing Rules of Employment in Korea without the Consent of Employees?
Korean labor law imposes specific obligations on employers with ten or more employees that are not imposed on companies with fewer than ten employees. One of the significant obligations is under Article 93 of the Korean Labor Standards Act. Employers with ordinarily 10 or more employees in Korea are legally obligated to draft and maintain rules of employment. The rules of employment in Korea are a written document outlining key working conditions, including wages, hours, leave, safety, and disciplinary procedures. These employment rules must be filed with
Continue readingAmerican Lawyer in Korea for Challenging a Notice of Proposed Removal/Suspension from U.S Government Service in ROK
Sean Hayes: A Leading Lawyer for U.S. Government Employees Facing Adverse Employment Actions when working on U.S. Military Bases in the Republic of Korea Sean Hayes, a distinguished attorney ranked a Top 100 lawyer working in Korea. Sean established himself as a formidable force in representing federal employees in some of the most challenging employment law matters. With a reputation for providing aggressive advocacy and street-smart advice, Hayes has become a trusted advocate for veterans and other government employees navigating the complex and often frustrating landscape of
Continue readingKorean Civil Service Employment Termination Decision at Korean Administrative Court
This Seoul Administrative Court of Korea approved the decision to not reappoint a Korean government worker of the Ministry of Foreign Affairs convicted of a crime prior to employment with the Korean government. This court decision from the Seoul Administrative Court illustrates a nuanced interpretation of administrative discretion and statutory interpretation concerning civil servant appointments in South Korea and the vast discretion given by the Administrative Courts in hiring and firing actions within Korean government agencies. Facts: Mr. A was worked at a Korean government agency since
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