"Wage Arrears Are Theft"... Strict Response to Malicious and Habitual Offenders Ahead of the Holidays

Operation of "Focused Wage Arrears Settlement Guidance Period"

The Ministry of Employment and Labor announced on the 27th that it will operate a "focused wage arrears settlement guidance period" for six weeks, from August 29 to October 2, ahead of the holiday season.

Unlike previous years, this year’s plan doubles the duration from the usual three weeks to six weeks, and the ministry has stated its intention to respond swiftly and strictly in the event of wage arrears.

To make it easier for victims of wage arrears to file reports, a dedicated reporting channel will be operated. A specialized window for reporting wage arrears will be opened on the Labor Portal, and a dedicated phone line will be established for direct counseling or reporting to labor inspectors.

Minister of Employment and Labor Younghoon Kim attended the Environment and Labor Committee plenary session held at the National Assembly on the 20th and apologized in relation to the fatal train accident that occurred in Cheongdo County, Gyeongbuk, before presenting the 2024 fiscal year settlement proposal. 2025.8.20 Photo by Hyunmin Kim

At each regional and local office, a "Wage Arrears SWAT Team" will be formed in cooperation with relevant agencies such as the police, enabling immediate on-site response and guidance for settlement in the event of labor-management conflict caused by wage arrears. For workplaces vulnerable to wage arrears-such as those with overdue payments for the four major insurances or frequent reports-the ministry will proactively monitor for potential arrears and strengthen efforts to prevent them in advance, including linking with labor inspections when necessary.

For business owners facing management difficulties and at risk of wage arrears, the ministry will actively guide and support them to voluntarily settle arrears by utilizing the "Wage Arrears Settlement Support Loan System." Meanwhile, for malicious and habitual offenders, the ministry will adhere to a zero-tolerance policy and pursue arrest and investigation.

Minister of Employment and Labor Younghoon Kim stated, "Wage arrears are no different from wage theft or fraud," and instructed, "With the holiday season approaching, directors of regional and local offices must go directly to the field to make every effort to minimize harm so that no worker suffers from wage arrears."