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ttompatz

Joined: 05 Sep 2005 Location: Kwangju, South Korea
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Posted: Tue Jan 24, 2012 5:15 am Post subject: |
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Two issues come to mind.
1) you only got your severance for 2 years and not 2 years 5 months.
This is a labor board issue and you will need them to sort it out. I hope you aren't leaving Korea any time soon.
2) your rate was so high that month that your tax rate actually did go into the 30% tax bracket (as per the monthly deduction table). IF that was the case you can apply to get it back (since you would end up in an overpayment over the year).
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12ax7
Joined: 07 Nov 2009
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Posted: Tue Jan 24, 2012 8:02 am Post subject: |
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| pkang0202 wrote: |
BTW,
as a word of warning. An acquaintance of mine also had a mysterious "deposit" made to his account. He assumed it was his severance. He spent the money. 2 weeks later he is informed the deposit was a mistake and the school demanded their money back. He had spent the money. So, they withheld his last paycheck + severance to "repay" the school for their error. He had to call home to beg his family for money to fly back home. |
Sheesh.
I get the feeling it wasn't the first or the last time he found himself in a similar situation.
I know someone like that, 35 years old and still mooching off his mother (a retiree on a fixed income). |
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iggyb
Joined: 29 Oct 2003
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Posted: Tue Jan 24, 2012 2:45 pm Post subject: |
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| Like I told every new instructor in Korea, use your first couple of paychecks to build up at least enough money to buy an emergency ticket home, because in Korea (at least in the hakwons) things can turn bad quickly... |
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iggyb
Joined: 29 Oct 2003
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Posted: Tue Jan 24, 2012 2:48 pm Post subject: |
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"The law essentially says..."
I'd have to see it, because it is prorated. That is how it is practiced. |
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ttompatz

Joined: 05 Sep 2005 Location: Kwangju, South Korea
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Posted: Tue Jan 24, 2012 2:55 pm Post subject: |
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| iggyb wrote: |
"The law essentially says..."
I'd have to see it, because it is prorated. That is how it is practiced. |
http://www.moel.go.kr/english/topic/laborlaw.jsp?tab=Standards
The 2 relevant acts are the Labor Standards Act (article 34 now refers to the ERBSA rather than specifically defining it) and the Employee Retirement Benefit Security Act.
You won't find anything in either act that says anything about being pro-rated.
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iggyb
Joined: 29 Oct 2003
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Posted: Tue Jan 24, 2012 4:02 pm Post subject: |
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"for each year of his/her consecutive service as retirement pay."
This is the commonly repeated phrase in the law from what I'm reading.
If they meant for "each year" to mean each 12-month period, and not "partial years", then it isn't being practiced as is written. However, they practice it reading "each year" as including "partial years" for those who complete at least 1 full year of employment but leave not matching a multiple of 12.
Or put another way: The employer can say, "You've worked 2 and half years" using "years" to express the total time.
- or - "You've worked 2 years and 6 months and "months" don't count. Only "years" do."
The standard practice is to read it the first way.
I asked about this specifically when I signed up with SMOE.
I found it odd that they were asking me to sign a 6 month contract first then a 12 month one after that. They said if I completed both, I'd get severance for the total time I'd worked. I probably wouldn't have taken the position they were offering if they told me I'd work half a year without building up severance, because I didn't really want to live here for more than a year.
(I came under special circumstances - my (Korean) father-in-law died. This was also before I smashed up my hip and left leg and couldn't go home as planned.) |
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ttompatz

Joined: 05 Sep 2005 Location: Kwangju, South Korea
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Posted: Tue Jan 24, 2012 5:13 pm Post subject: |
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An interpretation of the law by a lay person(s) is not the law nor does it set precedent.
Just because you and/or the employer interpreted it that way at your convenience when you started (and the employment circumstances were different - they wanted/needed you then) does not make it that way now.
If you're gonna fuss over it then you will end up in a labor board fight and there is no guarantee that you will win.
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iggyb
Joined: 29 Oct 2003
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Posted: Tue Jan 24, 2012 7:09 pm Post subject: |
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I agree that it is a matter of interpretation but precedent does matter: The common interpretation of the law will give you an idea of how the law has been interpreted legally in the courts --- (well, ok, perhaps not so in hakwon-land -- but if a government org like SMOE has been using it as so...).
It would have made no sense for me to agree to a 6th month initial contract (or an 18 month contract) to fill the slot SMOE had if the rule was only a full 12 months counts as continuing employment in terms of severance. Any continuing contract short of 12 months wouldn't make much sense to an employee. For people who don't sign yearly contracts but work for years at the same job, they would have to be sure to retire or leave the job at the end of the same month they began it... |
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12ax7
Joined: 07 Nov 2009
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Posted: Tue Jan 24, 2012 8:36 pm Post subject: |
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| iggyb wrote: |
| Like I told every new instructor in Korea, use your first couple of paychecks to build up at least enough money to buy an emergency ticket home, because in Korea (at least in the hakwons) things can turn bad quickly... |
Yes, and once you get your feet off the ground always have enough money saved up to support yourself for at least 6 months in case you lose your job. Once that's accomplished, start thinking about saving up for retirement if you haven't already. |
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iggyb
Joined: 29 Oct 2003
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Posted: Tue Jan 24, 2012 10:13 pm Post subject: |
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I got clarification on most points today.
The money they deposited along with my pay was 3.9 = 2.7 (gross monthly salary) + 1.3 exit allowance - taxes.
It wasn't clear why they gave me the severance and exit allowance now instead of next month. I asked them when I could go home, and they said the 29th of Feb when my contract ends...
At least now I know they didn't give me the stuff early because they want me to leave...
I did have a problem: I told them I'd worked for SMOE for 2 1/2 years so should get at least 2 years severance. They said my last school should have given me severance when I left, but I said since I transferred within SMOE, I get both when I leave SMOE.
They are going to contact SMOE HQ to verify this.
My CT and I both confirmed this in late December when she'd been confused about it too...So, I'm confident I'll get at least the 2nd year's severance at some point. I guess schools aren't used to dealing with FTs who transfer in from elsewhere within SMOE.....I have no idea why they gave me this stuff a month before the contract ends.
I am glad they did. It would have been much more troublesome having to contact them about this if I were already back home.
I'm not staying until the 29th, though. I have vacation time that will cover almost all of the time between the last day of classes (Feb. 15th) and the 29th.
At least I can buy the ticket home now: I'll leave the 25th (Saturday) so my wife can pick me up on Sunday. That is also right after my last payday.
If my vacation time is short a couple of days, I'll tell them to take it out of my last pay.
Now I can also go to the pension office when I have the ticket. I've been waiting for a couple of weeks for them to tell me how soon I could leave. I asked my CT and the VP but nobody seemed to know... |
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iggyb
Joined: 29 Oct 2003
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Posted: Thu Jan 26, 2012 6:26 pm Post subject: |
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More clarification today:
The admin told me I'd get 3.7 more for severance - .08 in taxes. So, I will end up with about as much severance as I expected. That includes the partial year worked - not just 24 months worth (2 years).
Things have worked out fine. I figured they would, but it doesn't make sense, which also isn't unusual...
Like - I asked if the 2nd half of my severance would be in my last pay on the 24th. She said no, it would come on the 29th when I finish the contract.
Why? If they gave me what they considered all my severance on payday 1 month before I leave - along with the exit money - why not give me the half they didn't know about on my next payday just before I leave?
Oh well...I'm confident they will in fact send the money - whether it makes a great deal of sense how they are dispersing it or not...
I'm rather pleased it actually happened like this: my wife has been worried about what will happen between the time I get home and when the school year begins in the US (August). Getting severance and exit allowance early helps ease her mind...
I was concerned why they gave me the money early - what it meant - and why it was so much lower than expected... |
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schwa
Joined: 18 Jan 2003 Location: Yap
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Posted: Thu Jan 26, 2012 9:43 pm Post subject: |
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| iggyb wrote: |
I'm not staying until the 29th, though. I have vacation time that will cover almost all of the time between the last day of classes (Feb. 15th) and the 29th.
...If my vacation time is short a couple of days, I'll tell them to take it out of my last pay. |
Be careful about that. Official epik policy in my province is that if you've been given permission to use vacation owed to leave early, the days must add up exactly to match your end of contract date. If not, they consider it a technical breach of contract subject to forfeiture of the exit allowance. It has happened.
Last edited by schwa on Thu Jan 26, 2012 9:56 pm; edited 1 time in total |
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iggyb
Joined: 29 Oct 2003
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Posted: Thu Jan 26, 2012 9:56 pm Post subject: |
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That's why I let my school know today. The contract says you can take unpaid leave beyond sick or vacation days. Like with taking vacation, you have to check with your school about when you want to use it.
I told the school today before our regular meeting that I wanted them to take 3 days unpaid leave out of my last salary since I didn't have enough vacation time to cover it. (I don't know if they would have even noticed, but I wanted to make sure it fit the contract and didn't cause complications after I'd left and couldn't communicate effectively.) |
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