|
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 |
busanboy8
Joined: 29 Aug 2009
|
 Posted: Wed Jul 28, 2010 4:42 am Post subject: If I renew my contract, do I still receive severance pay? |
 |
|
I'm at a public school in Gimhae and have signed on for another year. The information sheet they gave me mentioned the renewal bonus but there was no mention of the one month's salary of severance pay that they said I would get if I complete the contract.
A friend told me you receive severance pay for each year you complete, even if your employment is not actually "severed".
My original co-teacher was way confused, and told me that I would receive exit allowance+renewal+severance, but now I know that exit allowance is only for when you leave the job. So now I don't know what to think.
Can you experienced people set me straight on this? |
|
| Back to top |
|
 |
NYC_Gal
Joined: 08 Dec 2009
|
| Posted: Wed Jul 28, 2010 5:09 am Post subject: |
|
|
| I got it, but some schools make you wait until the end, and you get it for as many years as you've been working at the rate at which you were paid the last year. If you're looking to make a few hundred extra, this is the best way. I, for one, prefer to get it sooner and send it home when the won is stronger. |
|
| Back to top |
|
|
OculisOrbis
Joined: 17 Jul 2006
|
| Posted: Wed Jul 28, 2010 5:24 am Post subject: |
|
|
To clarify what NYC_Gal has said, you can get your severance pay yearly, but then you must COMPLETE the next year to get it again. If you renew and carry it over to the next contract, you get the first year plus however many months you complete after that PRORATED. The severance is calculated on your daily average of your last three months of work - that also applies if you take it after one year, so if you did lots of overtime your last three months you should receive more than one month's base salary. Also, if you you let it carry over into the second year, hopefully, you'll have received a monthly pay increase as well to bump it up even more.
The pros of letting it carry over is that you could end up with a bigger severance and if you leave before the subsequent year is finished you still receive credit for the extra months work. The downside is the if your employer goes bankrupt, you lose everything.
It's kind of up to the employer as to how they pay out the severance (yearly or at the end of your employment term), but the safe bet is that if you are at a hagwon, you should try to take it yearly. If youre at a public school, youre better off getting at the end (if they will let you), if you can wait that long and you dont think think the changing value of the won will affect it too much.
At any rate, if youre in a PS, you should be receiving your 2.0 million travel allowance for renewing (1.3 mil if your not renewing) and your severance for one year ( or they can let it carry over to your second year).
Last edited by OculisOrbis on Wed Jul 28, 2010 5:43 am; edited 2 times in total |
|
| Back to top |
|
|
Skippy
Joined: 18 Jan 2003
Location: Daejeon
|
| Posted: Wed Jul 28, 2010 5:30 am Post subject: |
|
|
SORRY WRONG TOPIC
Whoops
Last edited by Skippy on Wed Jul 28, 2010 6:43 am; edited 1 time in total |
|
| Back to top |
|
|
OculisOrbis
Joined: 17 Jul 2006
|
| Posted: Wed Jul 28, 2010 5:46 am Post subject: |
|
|
| Skippy wrote: |
One things Parents love are awards and Certificates. Try to do one every once in a while - simple speech contests, Spelling Bee.
Print up a nice certificate. Kids feel good and parents feel happy that kids are happy. |
Sure, who doesnt love that stuff?.......but I think you posted it to the wrong thread. |
|
| Back to top |
|
|
Seoulio
Joined: 02 Jan 2010
|
| Posted: Wed Jul 28, 2010 5:47 am Post subject: |
|
|
| OculisOrbis wrote: |
To clarify what NYC_Gal has said, you can get your severance pay yearly, but then you must COMPLETE the next year to get it again. If you renew and carry it over to the next contract, you get the first year plus however many months you complete after that PRORATED. The severance is calculated on your daily average of your last three months of work - that also applies if you take it after one year, so if you did lots of overtime your last three months you should receive more than one month's base salary. Also, if you you let it carry over into the second year, hopefully, you'll have received a monthly pay increase as well to bump it up even more.
The pros of letting it carry over is that you could end up with a bigger severance and if you leave before the subsequent year is finished you still receive credit for the extra months work. The downside is the if your employer goes bankrupt, you lose everything.
It's kind of up to the employer as to how they pay out the severance (yearly or at the end of your employment term), but the safe bet is that if you are at a hagwon, you should try to take it yearly. If youre at a public school, youre better off getting at the end (if they will let you), if you can wait that long and you dont think think the changing value of the won will affect it too much. |
Well he clearly states in the first sentence that he is working for a public school.
So if you wish to blast me about my viewpoint you way wish to do a thing called reading when responding to someone else.
To the OP
If you want it you get it, if you don't you can bank it.
NYC Gal is wrong that some schools wont pay it out, it isn't their option and has nothing to do with them. If you want it you can request it and the Education Office allots the money and sends it to your school.
NYC Gal needed the money so she asked for it and got it. I didn't need the money, never asked for it and never got it.
Its your money, you are entitled to it when you finish the contract ( not your employment) but most schools will default to the end of employment unless otherwise asked ( less paperwork, less hassle)
I will get it at the end of contract ( 3 of them, one for each of the 3 years worked)
And as you said the exit allowance is only paid at the end of your employment, not your contract. Never once can you get a renewal bonus and an exit allowance in the same contract. |
|
| Back to top |
|
|
OculisOrbis
Joined: 17 Jul 2006
|
| Posted: Wed Jul 28, 2010 6:10 am Post subject: |
|
|
| Seoulio wrote: |
| OculisOrbis wrote: |
To clarify what NYC_Gal has said, you can get your severance pay yearly, but then you must COMPLETE the next year to get it again. If you renew and carry it over to the next contract, you get the first year plus however many months you complete after that PRORATED. The severance is calculated on your daily average of your last three months of work - that also applies if you take it after one year, so if you did lots of overtime your last three months you should receive more than one month's base salary. Also, if you you let it carry over into the second year, hopefully, you'll have received a monthly pay increase as well to bump it up even more.
The pros of letting it carry over is that you could end up with a bigger severance and if you leave before the subsequent year is finished you still receive credit for the extra months work. The downside is the if your employer goes bankrupt, you lose everything.
It's kind of up to the employer as to how they pay out the severance (yearly or at the end of your employment term), but the safe bet is that if you are at a hagwon, you should try to take it yearly. If youre at a public school, youre better off getting at the end (if they will let you), if you can wait that long and you dont think think the changing value of the won will affect it too much. |
Well he clearly states in the first sentence that he is working for a public school.
So if you wish to blast me about my viewpoint you way wish to do a thing called reading when responding to someone else.
To the OP
If you want it you get it, if you don't you can bank it.
NYC Gal is wrong that some schools wont pay it out, it isn't their option and has nothing to do with them. If you want it you can request it and the Education Office allots the money and sends it to your school.
NYC Gal needed the money so she asked for it and got it. I didn't need the money, never asked for it and never got it.
Its your money, you are entitled to it when you finish the contract ( not your employment) but most schools will default to the end of employment unless otherwise asked ( less paperwork, less hassle)
I will get it at the end of contract ( 3 of them, one for each of the 3 years worked)
And as you said the exit allowance is only paid at the end of your employment, not your contract. Never once can you get a renewal bonus and an exit allowance in the same contract. |
My post was with regard to others that may read it and may not, necessarily, be employed in a public school. So thanks for your concern, but, yes I can read.
As to how and when the employer pays and with regard to the employees' wishes, please refer to the Worker�s Retirement Pay Guarantee Act of Korea Retirement Allowance System):
Worker�s Retirement Pay Guarantee Act of Korea, Article 4 (Retirement Allowance System)
③When employer wants to select retirement pay system or wants to change selected retirement pay system, consent shall be necessary from labor union, if any, which is organized by more than 50% of workers or from majority of workers(called as �the Representative of Worker�), if there is no labor union which is organized by more than 50% of workers.
④ When employer wants to change contents of selected retirement pay system, employer shall listen the opinion from the Representative of Worker. : Provided that consent from the Representative of Worker shall be necessary when change is unfavorable to workers.
Worker�s Retirement Pay Guarantee Act of Korea, Article 8 (Retirement Allowance System)
①
An employer who wants establish a retirement allowance system shall establish system by which the average wages for not less than thirty days shall be paid for each one year of continuous employment as a retirement allowance to a retired worker.
②
Notwithstanding the provisions of paragraph (1), an employer may, upon a request of a worker, even before his retirement, pay a retirement allowance calculated on the basis of consecutive years of employment. In this case, the number of consecutive years of employment for the calculation of a retirement allowance after such advance payment, shall be reckoned anew from the moment of the latest adjustment of balances.
So, ultimately it is the employees decision, but, as I said, if you are employed by a hagwon the safest bet is to insist on it yearly. In a public school, the good money is letting it ride. Either way, if you fight against what your employer wants to do, you will make waves - korean employers dont like employees that make waves. |
|
| Back to top |
|
|
busanboy8
Joined: 29 Aug 2009
|
| Posted: Wed Jul 28, 2010 6:49 pm Post subject: |
|
|
Hey thanks,
That's fully cleared it up for me!  |
|
| Back to top |
|
|
Young FRANKenstein
Joined: 02 Oct 2006
Location: Castle Frankenstein (that's FRONKensteen)
|
| Posted: Wed Jul 28, 2010 11:55 pm Post subject: |
|
|
| Seoulio wrote: |
| Its your money, (1) you are entitled to it when you finish the contract ( not your employment) but (2) most schools will default to the end of employment unless otherwise asked ( less paperwork, less hassle) |
I think you've got a couple things backwards.
1- you are not ENTITLED to it at the end of your contract according to labor law. You are technically supposed to get it only after you leave their employ for good (that's why it is called severance--you SEVER your employment with the company). Sure, most schools do give severance after the completion of every contract, but if you are renewing your visa with them by signing a new contract, they are not legally OBLIGATED to pay it (labor law). Of course, this all depends on the wording of the contract, but if it's not in the contract explicitly (contract law), they have no obligation to pay severance until you actually LEAVE the company. [ie. labor law says they don't have to pay it yearly, unless contracts law promises they will]
2- No, they don't. Most schools default to the end of contract, even if you signed a renewal with them. How that ever became the de facto standard, I don't know, but most schools pay out yearly, at the end of every contract, and not upon final termination. Paying out yearly saves them money in the long run (for employees who stay for several years). |
|
| Back to top |
|
|
NYC_Gal
Joined: 08 Dec 2009
|
| Posted: Thu Jul 29, 2010 2:48 am Post subject: |
|
|
Actually, Seolio, I was on another thread about severance, and was blasted by many who said that SMOE doesn't pay it out each year. I'm in Incheon, and I have the option, but quite a few in Seoul don't, and have to wait until they're done with public schools in Seoul.
I didn't NEED the money, I just make more money with it invested at home. |
|
| Back to top |
|
|
ttompatz
Joined: 05 Sep 2005
Location: Kwangju, South Korea
|
| Posted: Thu Jul 29, 2010 4:12 am Post subject: |
|
|
I know this may seem out of place in this discussion but has anyone actually checked the relevant labor law to see what it actually says?
http://www.molab.go.kr/
Employee Retirement Benefit Security Act
The employee CAN request it prior to severance but is not obligated to do so.. If they do it must be paid out within 14 days of the request and the record adjusted accordingly.
If it is not paid out it will be carried forward until the retirement of the employee.
The general policy in MOST POE's is to pay it out annually but it is not a legal requirement.
. |
|
| 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
