Following a special inspection of the Korea Local Tax Institute, where a staff member in their 20s who had reported workplace bullying took their own life, the Ministry of Employment and Labor determined that most of the bullying allegations were true and ordered disciplinary action and reassignment for the employees responsible.
On December 9, the Ministry of Employment and Labor announced the results of a special labor inspection of the Korea Local Tax Institute, a public research institution under the Ministry of the Interior and Safety.
The deceased, who joined the Korea Local Tax Institute in 2023, reported workplace bullying to the management three times and to the local labor office once, but did not receive any relief. In September of this year, the employee died by suicide.
Through a comprehensive reinvestigation, the Ministry of Employment and Labor confirmed multiple instances of workplace bullying and imposed a fine of 5 million won on the institute’s deputy director, who was deemed the employer. The ministry also ordered necessary measures, including disciplinary action and reassignment, for a total of five colleagues directly involved in the bullying. If these orders are not carried out, an additional fine will be imposed.
Key confirmed cases of bullying included an incident on December 19, 2023, when the deceased requested annual leave, but the department head refused, citing the need to prepare for a special lecture, and verbally abused the employee. The department head also called the employee, who was working overtime, to a drinking gathering with the head of management support, making insulting remarks such as “the atmosphere has deflated.” After the bullying was reported, the department head further damaged the employee’s reputation by accusing them of insubordination and forcing them to write a handwritten statement of explanation.
While recording conversations as evidence of bullying, the deceased discovered and reported manipulation of internal evaluations. In response, the deputy director and others imposed severe disciplinary action, excluded the employee from work, and filed a complaint under the Protection of Communications Secrets Act.
In addition to workplace bullying, the Ministry of Employment and Labor found a total of eight violations of labor laws, including the Labor Standards Act, at the Korea Local Tax Institute. The institute was found to have underpaid overtime, holiday and night work premiums, and unused annual leave allowances, all below legal standards. A total of 174 million won in wages was withheld from 140 current and former employees, including unpaid employer contributions to retirement pensions.
The ministry referred the institute’s president for criminal prosecution in four of these cases. Further investigations revealed insufficient paternity leave, as well as omissions in payroll records and wage statements. The ministry imposed fines totaling 25 million won for three of these violations.
Additionally, the inspection uncovered discrimination, as contract employees were not provided with family allowances, lunch expenses, or performance bonuses, which were paid to regular employees performing similar work, without any reasonable justification.
The Ministry of Employment and Labor ordered corrective action and will notify the Labor Relations Commission under the Act on the Protection of Fixed-Term and Part-Time Employees if the issues are not resolved. Following the conclusion of the special labor inspection, the institute’s president resigned. The deputy director retired in March of this year after the position was eliminated as part of organizational reforms at the end of their term.
Minister of Employment and Labor Kim Younghoon stated, “As a member of the older generation, I am deeply sorry that we failed to protect a young person in their 20s who, just two years after joining, was driven to such a tragic end by workplace bullying,” and emphasized, “We will continue to take strict action against workplace bullying without exception.”
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