|
Korean Job Discussion Forums
"The Internet's Meeting Place for ESL/EFL Teachers from Around the World!"
|
| View previous topic :: View next topic |
| Author |
Message |
steveohan
Joined: 24 Apr 2005
Location: Seoul, South Korea
|
 Posted: Mon Feb 12, 2007 9:10 pm Post subject: severance pay - gross or net? |
 |
|
so, is your yearly bonus your gross monthly pay or your net monthly pay?
steve. |
|
| Back to top |
|
 |
kat2
Joined: 25 Oct 2005
Location: Busan, South Korea
|
| Posted: Mon Feb 12, 2007 9:16 pm Post subject: |
|
|
| Severance is the average of your last 3 months (gross-before deductions) wages. So, if you work a lot of OT in your last few months, your severance shoudl look quite nice |
|
| Back to top |
|
|
ttompatz
Joined: 05 Sep 2005
Location: Kwangju, South Korea
|
| Posted: Mon Feb 12, 2007 9:19 pm Post subject: Re: severance pay - gross or net? |
|
|
| steveohan wrote: |
so, is your yearly bonus your gross monthly pay or your net monthly pay?
steve. |
It's not a bonus, it is your severance. It is based on your GROSS pay but it is subject to with-holding tax.
To answer your question please note Article 34 of the Korean Labor Standards act:
Article 34 (Severance Pay System)
(1) An employer shall establish a severance pay system whereby an average wage of more than 30 days shall be paid for each year of consecutive years employed as a severance pay to a retired worker; however, if the worker was employed for less than one year, this shall not apply.
(2) In establishing the severance pay system stipulated in paragraph (1), a differential severance pay system shall not be permitted within one business.
(3) An employer may, at the request of workers, pay severance pay in advance for the period of continuous employment of the worker concerned by adjusting the balances of remunerations before his retirement, irrespective of the provisions of paragraph (1). In this case, the number of years of continuous employment for the computation of severance pay shall be counted anew from the moment the latest adjustment of balances has been made.
(4) In cases where an employer has enrolled in pension insurance program for retirees or a retirement lump sum payment trust as prescribed by the Presidential Decree(hereinafter referred to as �pension insurance, etc.�) for workers, whereby workers, as the insured or a beneficiary, receive lump sum payment at the time of retirement, or draw their pensions, it shall be deemed that the employer has set up a severance pay scheme in accordance with paragraph (1). The amount of lump sum by the retirement insurance, etc., however, shall not be smaller
than that of severance pay pursuant to paragraph (1).
<Amended by Act No. 5473, Dec. 24, 1997>
|
|
| Back to top |
|
|
|
|
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum
|
|
FAQ
Search
Memberlist
Usergroups
Register
Profile
Log in to check your private messages
Log in
