Korean Job Discussion Forums

[lov2travel]

I just started working for a Hakwan 2 weeks ago.
So far I am enjoying the place and I get along with the director quite well.
In fact, while waiting for the current teacher to finish his contract I lived in the director's house for a week.

I was given a head's up by the outgoing teacher that they did not input money into a pension fund. I just got paid an advance and asked if that would go towards my pension and I was told that I was not part of the pension fund because they only take out 3.3% taxes.

Now, I want to be part of the pension fund so I can get that bonus at the end of my contract. Especially with the korean won as it is these days.

I was told by the outgoing teacher that the way they bypassed it is that they registered him as an "independent worker" or some other classifcation like that rather than a teacher.

My question is, since I"m from America, don't I (and them) by law, have to put money into the pension?
I currently do not have ANY money in savings so I can't just get up and leave the hagwon. Plus, I like this school. It's well structured,the kids are great, as are my co-teachers.

What do you suggest I do? WHat are my options?

[ttompatz]

Sorry to hear of your misfortune.

you have the lucky joy of working for a liar and a thief.

IF you want to FIGHT your way to the pension and medical entitlements you can begin. It will be a long, uphill battle and you will get fired long before you ever get to the point where you get enrolled into the national medical or pension plans.

You would be better off to work a few months, put some coin in the bank and leave at your convenience. Get all your documents in order (you will need all of them again for a new visa). Get a new visa and an honest employer.

If your current employer gets wind of this he will screw you even worse (like forgetting to pay you).

Live and learn.

[Big Mac]

Yes, I also had this problem at my first job. I chose to fight it and the rest of my year was miserable. Before the fight they told me all the time that I was a great teacher, blah blah blah. After the fight, I was suddenly the worst teacher in the school and I was asked to write reports on why I was so horrible and why the other teachers were better than me. It was horrible. My boss suddenly turned from the nicest guy in the world to the nastiest boss I've ever had. He yelled at me regularly and put me down in front of my co-workers constantly. I lasted the year, but it was tough.

You are right though, it is mandatory for you and your employer to pay into pension. You are suppsoed to pay 4.5 per cent of your monthly pay and your boss has to match that. You get it all back when you leave Korea. It's well worth your while, but you can see why the directors of these schools don't want to pay it. Also, Korea isn't very good at enforcing its own laws. If you report it to the pension office, however, they will take action.

As for the 3.3 per cent tax...you are also getting screwed on that. It should be less than 2 per cent, though it depends on your salary. You can click on this link to get the exact amount you should be paying for your salary:

http://nts.go.kr/eng/help/help_52.asp?top_code=H001&sub_code=HS05&ssub_code=HSE2

Also, you should be paying about 2.5 per cent for health insurance and you should get a little card from the National Health Insurance Corporation showing you are covered. This is also mandatory.

Sounds like your boss is screwing you over. But as the previous poster said, be careful how you fight it or think about what you will potentially lose by fighting it (eg. harmony at work). Perhaps it is better to regard it as a lesson learned for your next contract.

[SharkDiver]

Yes, you're boss is a scummy LIAR and a THIEF. The only reason things are going so well bewteen you is because he is ripping you off for a big chunk of coin. Not to mention you are technically working illegally if you are holding an E-2. If he/she is such a great person then he/she should have no problem giving you what you are entitled to. You will find out what they are really like by asking for what you are lawfully entitled to and seeing how they react.

What you could do is tell him/her you only want the medical. Then once that is in place pension will automatically kick in. That's what happened with me. I said I wanted the medical that was offered and it was finally accepted. Of course the pension office automataically registered me at that point and the pension had to be paid. I couldn't be blamed for rocking the boat as I had only asked for medical and the rest was automatic. "It wan't me who pushed for the pension, it was automatic", I said.

Of course, they then tried to pull all kinds of other stuff to rip me off so I had to stay on top of things. I guess if your boss is already screwing you with this you can't trust them with anything else.

So you could try the way that worked for me (but then you are still with an underhanded employer) or you could just do like the other poster said and put away some money for 2 months then move on. I suggest the latter as it was a pain working for a sheister all that time.

[air76]

It isn't necessarily true that you will be automatically signed up for the pension if you have medical insurance.

I am not sure if it is the case in all provinces, but in Jeollanamdo there is a provincial health plan that works the same way as the national plan but there is no pension.

We opted for this option because we'd heard that New Zealand citizens are not entitled to draw their pension when they leave the country.

[John_ESL_White]

get paid,

RUN.

[cruisemonkey]

[wylies99]

OP, you should thank that foreign teacher who told you about the hagwon's dishonesty with employees. Many foreign teachers know all about the situations but refuse to do anything and won't warn others. You were lucky that someone gave you a head's up.

[Seoul'n'Corea]

[lov2travel]

Alright,

Well the exact words that were shared.

*I was getting a little advance because I am completely out of money*

Me: "Is this going into the pension along with my first paycheck or is it seperate?"

Director: No, we aren't part of the pension program

Me: Why not, I think it is required by law that I be part of it

Director: We don't have to do it because we only pay 3.3% of taxes out and because of the size of our hagwon. The hagwon is owned by my husband and so we are not required to be part of it.

Me: Oh, well I would like to be part of it, I need it for my government for tax purposes. I have also read a lot about it and believe that really it is required by law for all american and canadian citizens to receive a pension while working in korea. Where I pay in and the employer matches.

Director: Not all schools do the pension. I will call around and ask.
Also, as you know we did not like the last teacher. If we feel there is a good relationship with you then we will be more willing to help you out and so I will look into it.

Me: Okay, I will also call around and look into the Pension on my own. Then I can give you what information I find out. I really do hope you like me, I know the students really enjoy me as a teacher and I work hard every day.



Alright...that was pretty much the conversation. Now...keep in mind that I don't really have any spare money right now. I lived off savings for a month while looking from work after my first hagwon job tanked *abusive employer* I was given a visa run Back to a US territory for this job and when I got back to Korea I stayed at the Director's apartment with her and her family for a week.

I really do like the structure of the school and how much they focus on education. The kids and co-workers are great. The director has also been pretty helpful so far.

Soo...yeah.. I'm not sure what to do with the whole thing because if I push too hard...it could lead to a horrible time again..I don't want that.cause I like it right now...but if I don't..I'm losing out on a nice sum of money which I can use for relocation

[lov2travel]

[yingwenlaoshi]

Just save your money and wait until you're finished working there. Then go to the pension office to make your claim. You'll have to fork over your share of it and eventually get the your and his shares of it. My last job didn't pay it pay and neither will my new one. No problem. Just bide my time and get it later.

Revenge is a dish best served cold. If you can call it revenge.

[tzechuk]

Correct me if I am wrong, but I think they changed the law and if your company has less than 5 employees, they do not have to contribute towards pension.

This is what I heard.. you gotta get it checked out.

[shifty]

How would the pension office view an independent contractor?? Would they summarily decide that matching payments be made?? Or would it set in train a lengthy battle that Ttompatz forecasts.

Read Ttompatz's post again. Do what he says.

[yingwenlaoshi]