Special Workers and Freelancers with 25% Income Drop in August or September Receive 1.5 Million Won

Ministry of Employment and Labor Announces Implementation of '2nd Employment Stability Support Fund'
Additional 500,000 KRW Provided to 1st Emergency Support Fund Recipients
New Applications from 12th to 23rd Next Month... Lump-Sum Payment in November

[Image source=Yonhap News]

[Asia Economy Reporter Kim Bo-kyung] Employment stability support funds of 1.5 million KRW will be provided to 200,000 special-type workers (teukgo), freelancers whose income in August or September decreased by 25% compared to before. Additionally, 500,000 teukgo and freelancers who received the first emergency employment stability support fund will receive 500,000 KRW.

On the 23rd, the Ministry of Employment and Labor announced the implementation of the second employment stability support fund targeting teukgo and freelancers in the blind spots of employment insurance. This support fund was introduced to stabilize the livelihoods of teukgo and freelancers whose income decreased due to the impact of the novel coronavirus infection (COVID-19). A 4th supplementary budget of 556 billion KRW will be invested in this project.

Previously, 500,000 teukgo and freelancers who received the first emergency employment stability support fund will be additionally supported with 500,000 KRW by Chuseok (September 29). However, those who were enrolled in employment insurance as of September 10 or employed as public officials, teachers, soldiers, etc., are excluded from the support target. If an objection to the first support fund is under review, the second support fund can be received after the re-examination result confirms the payment decision.

If the first support fund was applied for with an account in the applicant’s name, the second support fund will be paid to the existing account without a separate application. If applied with an account under another person’s name, the applicant must check the account information on the emergency employment stability support fund website and complete the application by today (23rd).

If there is no mobile phone in the applicant’s name or if identity verification on the website fails due to resident registration number errors, the applicant can visit a nearby employment center with a copy of their ID and bankbook to apply.

1.5 million KRW will be paid to 200,000 teukgo and freelancers whose income recently decreased due to the COVID-19 resurgence. The target is those not enrolled in employment insurance between December 2019 and January 2020. However, those with employment insurance enrollment of 10 days or less during this period will be exceptionally supported.

If registered as a business operator with the National Tax Service, support is available through the 'Small Business New Hope Fund,' so they are excluded from the employment stability support fund target. However, teukgo in 14 industries covered by industrial accident insurance can receive support regardless of business registration status.

Asia Economy DB=Photo by Hyunmin Kim kimhyun81@

Regarding new support requirements, applicants must be teukgo or freelancers who provided labor for 10 days or more or earned income of 500,000 KRW or more between December 2019 and January 2020, and have an annual income in 2019 of 50 million KRW or less based on taxable income standards.

Also, only those whose income in August or September this year decreased by 25% or more compared to the comparison period income are eligible. Income comparison can be made with one of the following: the 2019 annual average income, August 2019, September 2019, June 2020, or July 2020 income.

The Ministry of Employment and Labor plans to prioritize support based on a comprehensive consideration of annual income, income decrease scale, and income decrease rate if the number of applicants exceeds the budget.

New applicants can apply online for the second emergency employment stability support fund from the 12th to the 23rd of next month via the application website (PC only).

If not familiar with using a PC, applicants can also apply at employment centers from the 19th to the 23rd of next month by bringing ID, a copy of their bankbook, and supporting documents. However, considering the expected influx of applications during the first two days of on-site reception, an odd-even system will be operated. On the 19th, those whose birth year ends in an odd number (1, 3, 5, 7, 9) can apply, and on the 20th, those with an even number (2, 4, 6, 8, 0) can apply. New applicants are planned to receive the support fund collectively by the end of November after completing eligibility screening such as income decrease.

For detailed information about the second emergency employment stability support fund, please check the dedicated call center or the application website.