"Relief Expected for Small Businesses
from Weekly Allowance Burden
for Employees with Fewer Actual Working Days"
The Small Business Association (SBA) has expressed its support for the recent Supreme Court ruling regarding the payment of weekly holiday allowances.
On the 13th, the SBA released a statement, saying, "We actively welcome the recent Supreme Court decision, which ruled that weekly holiday allowances should be paid in proportion to the actual hours worked during the week."
The association went on to say, "We view this Supreme Court ruling as a sensible and reasonable judgment," adding, "This will serve as an important turning point in alleviating the labor cost burden for small business owners and securing flexibility in the job market through the rational operation of the weekly holiday allowance system."
They further stated, "This ruling paves the way for establishing the principle of fair compensation in proportion to the actual hours worked," and added, "We hope that the establishment of this principle will lead to the abolition of the outdated weekly holiday allowance system, which currently only increases the burden on small businesses and companies."
Previously, the Supreme Court's third division (presiding Justice Oh Seokjun) overturned the appellate court's ruling in favor of the plaintiffs in a wage claim lawsuit filed by taxi drivers working every other day at a taxi company in Jinju, South Gyeongsang Province, and remanded the case to the Busan High Court.
The SBA also stated, "Going forward, we will continue to work even harder for the abolition of the unreasonable weekly holiday allowance system, taking this ruling as an opportunity," and added, "We will do our utmost to protect the survival of small businesses from unreasonable systems and to foster a healthy economic ecosystem."
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