Korean Job Discussion Forums

[mollayo]

I was planning to renew my contract at my current school (hogwan) for one more year, and I figured I would get this year's severance pay at the end of my current contract. When I asked my boss, he said no. He said he would pay me this contract's severance along with the next contract's severance at the end of the next contract (next year). Is that the norm?

Now, I'm considering not renewing. Is he supposed to give me my severance before or after I leave the country?

Also, is there any special paperwork that must be filled out in order to get the severance pay?

Is the severance pay taxed?

Thanks!

[Ramen]

do you believe your boss will pay the severance after 2 or 3 years later?

i would not bank my money at a hagwon.

it's taxed and no special forms involved.

[ttompatz]

[monkeymagic]

3 months into next contract (same school) severance not paid.

I was told by my employer that they wanted to with hold the severance until next year or until I finish. (i.e up to 2 years) because I had renewed my contract they could do this.

I wanted my severance paid at the end of my first contract (regardless of pro-rata - not interested - I need my money now).

I also wanted my airfare paid which is stated as an amount very clearly in the contract.

The school then went to a Korean Lawyer who emailed me stating his opinion that I basically did not have the right to ask for my severance at the end of twelve months if the employer wanted to wait (because I signed another 1 year contract with them, blah, blah). Also my airfare is not a fixed amount because , apparently , it does not state it is a fixed amount in the contract. (an amount is stated, very clearly)

I had the contract checked out by Gerald stating that it was in my favor and that this was indeed the case. However, it is now being challenged. (he actually edited it last year with regard to these points and assured me it was the case - its very clear in the contract - pay the severance and airfare at the end of the contract - NO EXCEPTIONS)

What's the deal here...?

I am of the understanding that it is up to me if I want pro-rata and then the employer has to agree to pro-rata. However, if I don't then I may ask for my severance at any time after the first 12 month contract regardless of whether or not I leave Korea or whether or not I sign another contract with them and continue working there or at another school in Korea.

If the airfare is a stated amount and no reference to actually leaving Korea is in the contract then it goes by the contract and you must be paid at the end of that contract not the end of next one. (Which is what my employer wants to do).

[ttompatz]

Employee Retirement Benefit Security Act:

http://www.moel.go.kr/english/topic/laborlaw_view.jsp?idx=260&tab=Standards

I was wrong.

If your employment was terminated they are required to pay it out within 14 days (article 9) but they are not required to pay it out earlier.

They MAY pay it out earlier at your request and that will start your 1 year clock again from the date of the payment (article 8 sub 2)

I sincerely hope that their reluctance to pay it out is not a sign of the health of the finances of your employer. You stand to lose a lot if they close shop or sell out between now and the end of your new contract.

,

[monkeymagic]

So this basically means if I ask for it to be paid they have to pay it but the 'clock' will start anew. No Pro-rata.

(i.e I will have to wait until I finish the second year contract until I can claim any more severance from the second year of contract).

I strongly suspect that it is the case which is why I want my severance now.

(And cash for my airfare.)

It is clearly stated in the contract it both are payable at the end of the contract.

Korean Lawyer disagrees. Says they CAN hold onto it and the airfare. Doesn't sound right to me.

[ontheway]

[monkeymagic]

SO if my employer legally declines to pay me now then I get paid pro-rata if I quit before the end of my second year and I get the money immediately (i.e. within 14 days).?

The airfare is payable at the end of the contract. It says so.

My contract is another seperate piece of paper with seperate dates on it (i.e for 2011 to 2012) other than that its exactly the same. There is no mention of renewal it is just another contract with completely seperate non-overlapping dates on it.

So I can't demand that I be paid my severance now?

Also, it says in the contract 'payable at the end of this contract' it's really clear.

This point should be made REALLY clear to all teachers...very important point.

Many thanks for shedding some light. I will put the word out too.

[ontheway]

[ttompatz]

I would also like to point out that under article 8 sub 2, IF you take your severance out at the 13th month the clock starts again (meaning you need to work 12 full months AFTER you took your severance before you qualify again.

(or potentially lose 11 months worth of severance since you will only work for 11 more months AFTER the clock is restarted.)

.

[monkeymagic]

It's printed on the back of my E2 card says the end date is may 2012 in the PERIOD OF STAY box 1 , so I'm pretty sure my visa is renewed.

Did not sign anything apart from another contract. My boss then went to immigration and sorted it.

Even if I give 30 days notice I get paid Pro-Rata right? Includes all months I worked.

Airfare is purely contractual. Requires civil court to make them pay. Not worth it if they want to hold onto it (even though it says otherwise)

Do I get 2 x airfare at the end of 2 years?

Important points. Should be 'stickied' somewhere.

[koreatimes]

[monkeymagic]

The have said they want to pay it pro-rata every year not every month.

i.e. only strictly after 2 or 3 years not 1.5 or 2.5, 2.7 years etc.

Also they want to pay only up to 600,000W airfare and for them to buy the ticket and me to pay any difference above.

(the contract says 600,000/W or airfare whichever is cheaper.)

[koreatimes]

[monkeymagic]