Basic Employment Policy Act of the Republic of Korea

The purpose of this Act is to protect people’s basic rights and interests, secure administrative validity, and create a transparent public service and society by handling people’s complaints and grievances, improving unreasonable administrative systems, and preventing and efficiently regulating corruption through the establishment of the Anti-Corruption & Civil Rights Commission. - Article 1

783082 Basic Employment Policy Act of the Republic of Korea

Basic Employment Policy Act of the Republic of Korea

Act No. 4643, Dec. 27, 1993 Amended by Act No. 5509, Feb. 20, 1998 Amended by Enactment of the Basic Workers Welfare Act(No. 6510, Aug. 14, 2001) Act No. 6510, Aug. 14, 2001 Act No. 7045, Dec. 31, 2003 Act No. 7299, Dec. 31, 2004 Act No. 7831, Dec. 30, 2005 Act No. 8372, Apr. 11, 2007 Act No. 8813, Dec. 27, 2007

Contents

CHAPTER I GENERAL PROVISIONS

Article 1 (Purpose)

The purpose of this Act is to formulate and implement the employment policy comprehensively by the State and to contribute to employment security, improvement in economic and social status of workers and balanced development of the national economy and society by helping the individual nationals develop and display their abilities to the maximum and by attaining enhanced efficiency in the labor market and balance in demand and supply of manpower.

Article 2 (Basic Principle)

In employment of this Act, the State shall esteem worker’s freedom of occupation and the right to work and employer’s independence of employment management, and encourage the motives of workers who are willing to develop their abilities and support the employers so positively that the employers may take the initiatives in security of employment.

Article 2-2 (Definition)

The term "worker" in this Act means any person who is employed by an employer and who intends to seek a job : Provided, That this shall be limited to any person who is employed by an employer in the cases falling under Article 3 (2) and (3), Article 4 (1) 3 and 5, Article 6 (3), Article 13 (1), and Article 26 (1) and (2).

  1. Matters concerning job placement, vocational guidance or collection and supply of employment information to support the employment to an occupation suitable to ability and aptitude of individual nationals and securing manpower necessary for the industry;
  2. Matters concerning vocational training, lecturing, technical training and technical qualification test to bring up and promote vocational Skills of the workers, and securing of the skilled manpower as required by the industry;
  3. Matters concerning employment security, such as the prevention of unemployment, promotion of employment, expansion of employment opportunities for workers, job creation by the employers, adjustments in employment and support for securing manpower;
  1. Matters concerning support for workers' job transfer, interregional migration, and adaptation to their workplaces in order to prevent manpower shortages and promote the employment of those whose employment is particularly difficult under the ordinary conditions of the labor market;
  2. Matters concerning support for and promotion of workers' development and demonstration of their vocational Skills, improvement of enterprises' management of employment and enhancement of employment equality for the efficient utilization of the workers' abilities;
  3. Matters concerning the establishment of or support for lodges of workers who change their residences for employment and other facilities needed to promote and secure the

employment of workers; and

  1. Other matters concerning employment insurance, security in employment and development in vocational Skills, etc.
  1. Matters concerning trends of economic, industrial, educational or population policy which have impact on demand and supply of manpower;
  2. Matters concerning employment trends and prospect on emand and supply of manpower;
  3. Matters to be fundamental to each policy under paragraph (1) of Article 4; and
  4. Other matters concerning major policies relating to the employment.
  1. Matters concerning major policies among those policies under Article 4 thereof and matters on establishment of the basic plan under Article 5;
  2. Matters concerning employment stabilization, vocational Skills development, establishment and coordination of major policies relevant to employment insurance and on

coordination of the other major policies concerned;

  1. Matters concerning employment and unemployment measures subject to changes in mechanism of manpower supply and industrial structure; and
  2. Other matters as provided by the Presidential Decree.

The State shall, through the efficient implementation of the employment related laws including this Act, establish and operate the employment security agency by each region in order to promote employment of workers and facilitate securing manpower for employers.

CHAPTER II Collecting and Providing Employment Information, etc.

  1. Related administrative agency;
  2. Educational and research institute;
  3. Employers or their organization;
  4. Trade union; and
  5. Other agencies concerned

CHAPTER III Development, etc. of Vocational Skills

  1. Streamlining of vocational skills development training facilities
  2. Research and development in contents and method of vocational skills development training; and
  3. Cultivation, securing and improving the competence of vocational skills development training instructors

The State shall support the students, etc., of all levels of schools under the Elementary and Secondary Education Act and the Higher Education Act in choosing their future occupation, provide them with information on occupations in order to facilitate their employment in occupations appropriate for each individual's aptitude and abilities, give them opportunities to receive vocational guidance, such as vocational aptitude test, and give them other necessary support.

Article 13 (Support of Vocational Skills Development, etc.) (1) The employer shall conduct necessary vocational training for the hired workers and make endeavors for workers to undergo vocational and other trainings as required. (2) The Minister of Labor shall render necessary support such as providing information on development of vocational Skills and counselling to the workers and employers. Article 14 (Improvement in Evaluation System of Vocational Skills) (1) The State shall set forth a standard for appraisal of vocational SKills and establish examination system on expertise, technique and skill of the workers, and expand and disseminate thereof in cooperation with trade unions, employers associations and other persons concerned. (2) Matters required of the examination system under paragraph (1) shall be determined by the law.

CHAPTER IV Support of Employment Promotion for Workers, etc.

  1. The aged;
  2. The disabled;
  3. The long-term unemployed;
  4. Persons eligible for assistance under the National Basic Livelihood Security Act; and
  5. Other persons whose employment is particularly difficult under the ordinary conditions of the labor market

The State shall provide the youth with employment information of such vocational guidance as job counselling, job aptitude test, etc. and opportunities for vocational training so that they may choose jobs suitable to their aptitude and ability and with support so as to develop and improve their vocational Skills persistently.

Article 18-2 (Support for Employment Security of Daily Workers, etc.)

In order to ensure the employment security of daily workers, dispatched workers, etc., the State shall provide them with employment information suitable for their type of employment, and vocational counseling, expand opportunities for vocational Skills development, and take other necessary measures.

Article 18-3 (Support for Creation of Social Service Jobs)

The State may provide necessary support to a non-profit corporation or non-profit organization which creates jobs in public service areas like health, social welfare and education which are publicly necessary but are not provided enough in the market due to profitability, etc.

  1. Lodging and boarding facilities for moving workers;
  2. Cultural, athletic or recreational facilities for workers;
  3. Facilities for employment promotion of the aged, the disabled, females and the youths; and
  4. Other employment promotion facilities as set forth by the Presidential Decree.

CHAPTER V Support of Employer in Securing Manpower

Article 22 (Support for Job Provider) (1) The employment security agency shall render support to job provider by providing employment information in respect to specific job search information as to working conditions so that the job provider may hire workers suitable to work or duties

(2) The employment security agency may, if recognized as necessary for balanced demand and supply of manpower, provide the job provider with employment information and with such guidance service as counselling and advising, etc., concerning the time of job offer, number of persons or place of work and forms of job offer. Article 23 (Support of Employment Management for Business) (1) The heads of employment security agency and the public vocational training institute shall, when requested by employer, workers’ representative or trade union to support for such employment managerial practice as recruitment, hiring or assignment, development of vocational Skills, promotion and wage system, etc., for workers, provide necessary supports in counselling and guidance, etc., using the employment information. (2) The Minister of Labor shall, in order to support efficient internal operation of the enterprises from labor market, make research or study of such employment managerial status of the enterises persistently and collect and analyze relevant data and information. Article 24 (Establishment and Implementation of Support Plan for Securing Manpower by Small and Medium Enterprises) (1) The Minister of Labor may, in order to support securing of manpower by small and medium enterprises, establish and implement plans to improve working environment, to expand welfare facility and to help other area of employment management (hereinafter referred to as “support plan for securing manpower by small and medium enterprises”). (2) The Minister of Labor shall, when establishes the support plan for securing manpower by the small and medium enterprises, consult in advance with the chief of central administrative agency concerned. (3) The matters required for establishment and enforcement of the support plan for securing manpower by small and medium enterprises shall be provided by the Presidential Decree. Article 25 (Support of Securing Manpower for Small and Medium Enterprises)

The State and local governments shall provide necessary support for smooth implementation of the support programs in securing manpower for small and medium enterprises.

CHAPTER VI Measures for Support of Coordination and Security of Employment

  1. To support employment adjustment by the employers;
  2. To prevent the unemployment of workers;
  3. To promote the reemployment of the unemployed; and
  4. To secure employment and the livelihood of the unemployed

(3) The necessary matters for support measures under Paragraph (1) shall be determined by the Presidential Decree.

Article 27 (Report of Mass Changes in Employment, etc.) (1) In case the large changes in employment arise corresponding to the criteria as set forth by the Presidential Decree due to automation, construction or expansion of production facility or contraction and adjustment of business scale, the employer shall report the changes of employment to the employment security agency : Provided that this shall not apply, in case the report prescribed in Article 24 (4) of the Labor Standards Act is made. (2) The employment security agency shall, when such a report under paragraph (1) is received, work on cultivating the better match of job offer and search, expanding job placement and conducting vocational training by the public vocational training institute, and take necessary actions for the promotion of reemployment of the unemployed or for securing manpower in the business concerned. Article 28 (Implementation of Unemployment Measures)

(1) The Minister of Labor may, upon survey of unemployment situation by industrial category and regions, when a large number of unemployment have taken place or likely to be or if recognized as necessary to contrive such employment stabilization as to promoting employment of the unemployed, implement the activities for measures against unemployment(hereinafter referred to as unemployment measures activities ) including each of the following in consultation with the chiefs of central administrative agencies concerned:

  1. Conducting and supporting employment promotion training for the unemployed ;
  2. Providing the unemployed with support for living costs, rehabilitation funds, social insurance premiums, such as the insurance premiums under the National Health Insurance Act, medical costs(including medical costs of family members), school expenses(including school expenses of children), deposit money for the lease of a house, the lease of a shop for business start-up, etc.;
  3. Providing support for a person who conducts programs to prevent unemployment, and to promote the employment of the unemployed, such as job creation, and other programs for employment security;
  4. Providing loans for an employer who implements activities relating to employment promotion;
  5. Implementing public works programs for the unemployed; and
  6. Other activities necessary to reduce unemployment.
  1. Contributions or assistance from the Government or a non-government parties;
  2. Borrowing of fund made as provided by the provision of Article 28 3;
  3. Bond issuance as provided by the provision of Article 28 4; and
  4. Other revenues.

The Corporation may, if necessary, borrow the funds(including borrowing from international organizations, foreign governments and foreigners) after obtaining the approval of the Minister of Labor, in order to implement the unemployment measures activities delegated as provided by the provisions of Article 28 2.

Article 28-4 Deleted Article 29 (Cooperation with the Agencies Concerned) (1) The Minister of Labor may request the chief of central administrative agency concerned or local government for required cooperation on undertaking or suspension of project or hiring workers when recognized as necessary to attain employment security or adjustment in demand and supply of manpower. (2) The chief of central administrative agency or local autonomy entity shall respond to the request for cooperation under paragraph (1).

CHAPTER VII Supplementary Provisions

Article 30 (Report and Inspection) (1) When it is deemed necessary concerning collection and provision of employment information, support for employment management and employment adjustments. etc., the Minister of Labor may have the employer and the person who receives or intends to receive support under this Act make reports on necessary matters for reviewing the status of employment management, usage of subsidy, qualifications of support, etc., under the conditions as determined by the Presidential Decree. (2) When it is deemed necessary for such matters as determined illegally concerning the support for employment management and employment adjustments, the Minister of Labor may have related public officials enter the place of business or workshops of the employer to question the relevant persons or inspect documents.

(3) When intending to conduct inspection under paragraph (2), the Minister of Labor shall notify in advance a related employer of necessary matters for the inspection such as date and details of the inspection : Provided, That this shall not apply when it is urgent or when it is deemed the objectives may not be achieved by prior notice.

(4) The related government official who conducts inspection under paragraph (2) shall carry a certificate indicating his status and present it to the person concerned. (5) When having conducted inspection under paragraph (2) through (4), the Minister of Labor shall notify in writing the related employer of the inspection outcome. Article 31 (Entrustment of Authority)

Part of the powers of the Minister of Labor under this Act may be delegated to Special Metropolitan City Mayor, other Metropolitan City Mayors, ‘’Do’’ governors or the heads of employment security offices under the conditions as determined by the Presidential Decree.

Article 32 (Delegation)

The Minister of Labor may delegate part of business on the collection, provision, etc. of employment information, etc. under Article 8 through 10 to the Korea Employment Information Service under Article 33.

Article 33 (Establishment of Korea Employment Information Service) (1) The Korea Employment Information Service shall be established to efficiently carry out the businesses delegated under Article 32 such as collection and provision of employment

information, research and study on jobs, and other business concerning employment support.

  1. Businesses delegated by the Minister of Labor under Article 32;
  2. Study, development, distribution of techniques concerning vocational guidance, vocational aptitude test and vocational counselling;
  3. Evaluation and support for employment support service;
  4. International cooperation and other incidental business concerning businesses under subparagraphs 1 through 3; and
  5. Other businesses delegated by the Minister of Labor, the head of another central administrative agency or a local government.

information needed for its business.

(8) In applying Articles 129 through 132 of the Criminal Act, the officers and employees of the Korea Employment Information Service shall be regarded as public officials. (9) Present and former officers abd employees of the Korea Employment Information Service shall not disclose secrets acquired in the course of performing their duties, or use them for other purposes. (10) The Minister of Labor may guide and supervise the Korea Employment Information Service, make the Korea Employment Information Service report necessary matters concerning its business, accounting and property, or have related public officials enter the Korea Employment Information Service to inspect books, document and other items. (11) The articles of incorporation, registration of incorporation, board of directors and officers, accounting, business cooperation with related agencies and other necessary matters for establishing and operating the Korea Employment Information Service shall be prescribed by the Presidential Decree. Article 34 (Penal Provisions)

A person who violates the provisions of Article 33(9) shall be punished by imprisonment for not more than 3 year or a fine not exceeding 10 million won.

  1. A person who fails to make a report, or who has made a false report in contravention of Article 27 (1);
  2. A person who fails to make a report, or who has made a false report in contravention of Article 30 (1); or
  3. A person who refuses, obstructs or evades to answer or made a false answer to the question under Article 30 (2), or who has refused, obstructed or evaded the inspection

under the same paragraph and Article hereof.

(2) The fine for negligence under paragraph (1) shall be imposed and collected by the Minister of Labor as provided by Presidential Decree. (3) Any person who is dissatisfied with a disposition of the fine for negligence under paragraph (2) may raise an objection against the Minister of Labor within thirty days from the date he has received the notice of disposition. (4) If a person who is subject to a disposition of the fine for negligence under paragraph (2), raises an objection under Paragraph (3), the Minister of Labor shall notify it without delay to the competent court, which shall, upon receiving the notification, bring the case of fine for negligence to a trial under the Procedure in Non-Contentious Cases Court.

Act No. 7831, Dec. 30, 2005>

(5) If no objection is made or no fine for negligence is paid in the period as referred to in paragraph (3), it shall be collected according to the example of the disposition of the national taxes in arrears. Addendum Article 1 (Enforcement Date)

This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)

Articles 2 through 15 Omitted. Articles 16 (Revision of Other Laws) (1) through (3) Omitted. (4) Parts of the Basic Employment Policy Act shall be revised as follows :

"Article 31(4)" in the proviso of Article 27(1) shall be changed to "Article 24(4)."

(5) through (24) Omitted. Article 17 Omitted

Addendum

This Act shall enter into force on the date of its promulgation.