South Korea

The rules on severance pay in detail

Employees who have served the employer for one year or longer are entitled to receive statutory severance pay of one month’s average wages per year of service (prorated for the final, partial year), unless they are subject to a qualifying severance pension plan which can substitute for this obligation. This severance pay is required regardless of whether the termination is voluntary or involuntary, and regardless of whether it is for misconduct or not. Compensation for unused annual leave must generally also be paid.

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Author: Yulchon LLC

Date: December 2019