South Korea Labour Law Changes 2025

Employers in South Korea need to be ready to implement these latest regulations for their employees in 2025

In this article, we will delve into the South Korea Employment Legislation Changes 2025. Let’s understand the key updates and amendments in employment legislation that are expected to impact employers across various sectors.

This year, South Korea has introduced several significant amendments to its labour laws, affecting various aspects of employment, including parental leaves, work safety regulations, wage payment protections, and various subsidies & incentives for businesses.

These changes are crucial for employers to understand and implement to ensure compliance with South Korea’s labour regulations.

Changes to Definition of Ordinary Wage

In December 2024, the South Korean Supreme Court ruled that the concept of “fixedness” will no longer determine whether a payment qualifies as ordinary wage. This shifts the focus to whether wages are paid regularly and uniformly in return for fulfilling contracted working hours.

The ruling is expected to widen the scope of what is considered ordinary wage, and the Ministry of Employment and Labour updated its guidelines accordingly in February 2025 to help simplify pay structures and support clearer wage planning.

Minimum Wage Increase

From 2025, the national minimum wage in South Korea has been set at KRW 10,030 per hour, marking a modest 1.7% rise from the 2024 rate of KRW 9,860. In calculating whether this threshold is met, both regular bonuses and cash-based welfare benefits will be factored in.

Interest on Wage Delays Extended to Current Employees

Previously, 20% annual interest on delayed wage payments applied only to former or retired employees. From October 23, 2025 onwards, this rule will also protect current employees, adding financial deterrence against late payments.

Legal Damages for Wage Delays

Starting October 23, 2025, employees affected by deliberate or repeated wage delays can now seek damages of up to three times the unpaid amount, if their employers fall under any of the following categories:

failure to pay all or part of the wages with explicit intent
wage payment delays of three months or more within one year, or
unpaid wages exceeding three months or more of ordinary wages.

Courts are instructed to consider the duration, context, and financial capability of the employer when determining the award.

Harsher Penalties for Habitual Wage Payment Delays

Employers with a record of repeated wage payment delays may now face harsher sanctions. Those listed in the Ministry of Employment and Labour’s official registry which happens due to two or more wage payment delay cases within three years, and have over KRW 30 million in unpaid wages in the past year, may be subject to travel bans and lose eligibility for prosecution waivers. These provisions will also be effective from October 23, 2025.

Longer Paternity Leave with Extended Support

Paternity leave has been increased from 10 days to 20 days, starting February 23, 2025.

For employees at small and medium-sized businesses, government support now covers the full 20-day leave period instead of the earlier 5 day period, easing the pressure off of these employers.

This change raises the maximum reimbursable amount from around KRW 400,000 to approximately KRW 1.6 million.

The amendment also extends the timeframe for using paternity leave to 120 days post-birth and allows it to be split into four separate periods instead of two, making it more adaptable to individual family needs.

This provision will also apply to employees who have taken or are taking paternity leave under the current law, but who still are within the period to request as of the effective date.

Expanded Protection for Pregnant Employees

Amendments to the Labour Standards Act extend reduced working hours during pregnancy beginning February 23, 2025.

At present, pregnant employees who typically work over eight hours a day may request a two-hour reduction in their daily working hours during pregnancy. Those whose standard workday is under eight hours can request to have their daily hours adjusted to six.

While previously limited to early (up to 12 weeks) and late-stage pregnancy (after 36 weeks), the window for eligibility to avail reduced working hours has now been broadened to include periods after 32 weeks.

High-risk pregnancies, such as those involving premature births or twins or more, are eligible for reduced hours throughout the entire pregnancy with a doctor’s note.

The reduced working hours for pregnancy (e.g. two hours per day) have been excluded in the calculation for annual leave. However, as of October 22, 2024, these hours will no longer be excluded from the calculation of annual leave.

Maternity Leave Extension for Premature Births

Under current rules, pregnant employees are entitled to 90 days of maternity leave, or 120 days in the case of multiple pregnancies. For the initial 60 days (or 75 days for multiple births), full pay is the employer’s responsibility, while the remaining 30 or 45 days are covered by the government, with a limit of KRW 2.1 million per 30-day period.

For businesses that qualify as priority support enterprises, the government covers the entire duration of maternity leave up to the same cap. If an employee’s regular salary is higher than this limit, the employer must cover the difference during the first 60 days. For the remainder of the leave, employers are not obligated to pay beyond the government contribution, although they may choose to top up the amount voluntarily.

Effective from February 23, 2025, maternity leave has been extended from 90 to 100 days for employees whose babies are born prematurely and require neonatal intensive care. This provision applies to births occurring after the effective date of the new law.

More Support for Subfertility/Infertility Treatment Leave

Effective from February 23, 2025, the annual entitlement for subfertility or infertility treatment leave has doubled from three to six days, with two of those now mandated as paid leave. Government support is available for businesses eligible for priority assistance (e.g. small and medium-sized enterprises).

Additionally, employers are now legally required to handle such leave requests with strict confidentiality, a change which took effect from 22 October 2024.

This provision will also apply to employees who have taken or are taking subfertility treatment leave as of the effective date, except for those who have already used two (2) days or more under the current law.

Extended Leave for Miscarriage and Stillbirth

From February 23, 2025, employees who experience a miscarriage or stillbirth within the first 15 weeks of pregnancy will now be eligible for 10 days of leave, up from the previous five. The existing allowances for pregnancies of 16 weeks or more remain unchanged, providing up to 90 days of leave based on the stage of pregnancy.

Broader Access to Reduced Working Hours for Childcare

With effect from February 23, 2025, the eligibility age for reduced working hours due to childcare responsibilities has been extended from children under 8 to those under 12 (or up to 6th grade in elementary school). Parents with unused childcare leave can now convert that into extended part-time hours for up to three years.

Additionally, the minimum usage period has been reduced from three months to one month.

Beginning 1 January 2025, the financial support available to employees on childcare leave will increase significantly. Employees will now receive up to KRW 2.5 million per month during the first three months of leave, KRW 2 million for months four to six, and KRW 1.6 million thereafter. Single parents will see their benefits rise to KRW 3 million per month for the first three months. These new rates apply even if the leave started before January, but continues past that date.

The system will also remove the current post-payment of 25% of leave pay, which was previously held until six months after the employee’s return. Starting January 2025, all leave benefits will be disbursed during the leave period itself, improving financial stability for families.

The reduced working hours for childcare (e.g. two hours per day) have been excluded in the calculation for annual leave. However, starting October 22, 2024, these hours are no longer excluded from the calculation of annual leave.

The application of double accrual for unused childcare leave of absence will also apply to employees who have taken a reduction in working hours for childcare before the effective date. However, in this case, it will only apply to the remaining period of the childcare leave of absence as of the effective date.

Extended Childcare Leave for Eligible Parents

Changes to the Equal Employment Opportunity Act starting February 23, 2025, now allow for extended childcare leave under certain conditions.

Employees who fall under any of the following categories will be eligible to extend their childcare leave of absence for a maximum of 18 months instead of the earlier 1 year period:

Single parents
Parents of children with severe disabilities
Dual-parent households where each parent has taken at least three months of childcare leave for the same child

Furthermore, this extended leave can be used across up to four separate periods (instead of the earlier allowed three separate periods), allowing greater flexibility for working parents.

This provision will also apply to employees who have taken or are taking a childcare leave of absence under the current law as of the effective date.

The application process has also been simplified. Employees will soon be able to apply for maternity and childcare leave in a single application. Employers must respond to requests within 14 days. If no response is given, the leave request is considered approved by default. This is an important change from the previous practice, which only required employers to permit the leave without an obligation to confirm it.

Expanded Government Subsidies for Childcare Leave Coverage

Starting 1 January 2025, government support for employers hiring substitute staff will be broadened to include replacements for employees on childcare leave, in addition to those covering maternity leave or reduced working hours for childcare. Under this revised scheme, the monthly subsidy cap will rise from KRW 800,000 to KRW 1.2 million.

Additionally, the existing government subsidy, currently up to KRW 200,000 per month, for employees who temporarily take on extra duties during a colleague’s reduced working hours for childcare, will also be extended. This support will now cover those stepping in to share the workload while a team member is on childcare leave.

Protection Against Extreme Weather Conditions

Starting June 1, 2025, employers are now explicitly required to protect workers from health risks arising from prolonged exposure to extreme heat or cold. This includes implementing preventive measures and adjusting work conditions to reduce the likelihood of heatstroke or hypothermia.

Commemoration of Industrial Accident Workers

Starting in 2025, 28 April has been officially designated as Industrial Accident Workers’ Day. The week following this date will be observed as a memorial week to honour those who have suffered injuries or loss due to workplace accidents.

Safety Enhancements for Platform Trucks and Industrial Equipment

From 29 June 2025, new safety rules will require platform trucks to be equipped with alarms and flashing lights if there is any chance of collision with workers or machinery.

Additional requirements have also been introduced for grinders, mixers, and similar equipment.

When there is a need to open the cover of a grinder, shredder, mixer, etc. during its operation, measures such as the following should be taken:

suspend operation before opening the cover, etc.
install an interlocking device so that operation will be suspended automatically if the cover, etc. opens; or
install a sensor-type guarding device that automatically stops operation if an employee’s body enters the danger zone.

Workplace Innovation Consulting

To help small and medium-sized businesses improve their labour practices, the Ministry of Employment and Labour will offer free consulting services on areas like pay structures, working hours, and organisational culture. Companies with at least 20 employees can apply through a designated platform. Up to KRW 1.2 million in support may be provided for innovation activities at smaller firms with fewer than 100 staff.

Expanded Legal Aid and Support for Vulnerable Workers

Legal and educational assistance is now extended to a wider group, including small business owners, from March 2025. Initially launched to help workers unfamiliar with employment law, this programme provided support to over 15,000 workers in 2024. It is designed to ensure that freelancers, non-regular staff, and platform workers can better understand and protect their rights.

Flexible Work and Work-Life Balance Incentives

To encourage flexible working practices, the government is easing subsidy requirements. From 2025, businesses that implement flexible working hours, such as remote work, staggered shifts, or selective hours, may be eligible for subsidies of up to KRW 3.6 million per employee annually.

Employees with young children may receive double the standard amount. Additionally, companies can apply for funding of up to KRW 20 million to build infrastructure that supports work-hour tracking and secure remote work systems.

Simplified Risk Assessment Tools

South Korea’s Risk Assessment System (KRAS) has been updated to make it easier for businesses to identify and manage safety risks. A new mobile tool allows companies to conduct assessments more flexibly, and resources like case studies and instructional videos are now available to help employers prevent common workplace hazards.

How Beyond Borders HR Can Help You

These 2025 employment legislation changes for South Korea can be challenging for employers to process independently. Beyond Borders HR, a global HR consulting firm, stands ready to assist businesses in understanding and implementing these changes effectively. With our extensive expertise in global HR practices, we ensure that your organization stays compliant with the evolving regulatory landscape.

Reach out to Beyond Borders HR for tailored solutions, expert guidance, and seamless integration of these legislative updates into your HR policies and practices. Our team is dedicated to empowering your business with the knowledge and support needed to thrive in this dynamic regulatory environment.

Need help with South Korean employment legislation?

South Korea Labour Law Changes 2025