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Working Hours and Overtime

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1 Working Hours and Overtime
September 21, 2019 Yulchon LLC

2 Korea’s 52-Hour Week 68-Hour Week 40 + 12 + 8 + 8 = 68 52-Hour Week
= 52 50% premium pay for OT, nighttime, and day-off work Premiums are cumulative except 8 hours/day of “day-off” work is not OT Premium pay is the same

3 52-Hour Week Phase-In 300+ 50-299 5-49 300+ 30-299 5-29
52-hour Week Phase-In (by workforce size) 300+ 50-299 5-49 July 1, 2018 January 1, 2020 July 1, 2021 Mandatory Paid Public Holidays Phase-In 300+ 30-299 5-29 January 1, 2020 January 1, 2021 January 1, 2022 26 industries permitted more than 12 hours/week OT by labor-management agreement now reduced to 5 (in transportation and healthcare)

4 Alternative Working Hours Systems
Flexible Hours Type 1 40 hours average per 2 week period Up to 48 hours per week Flexible Hours Type 2 40 hours average per period up to 3 months Up to 52 hours/week, 12/day Selective Hours Employees with discretion or choice on start/stop time 40 hours average per period up to 1 month Discretionary Hours Enumerated job types requiring discretion on manner of performing work No maximum hours or overtime Labor Management Agreement

5 Managerial & Supervisory Surveillance & Intermittent
Exemptions Non-Employee Managerial & Supervisory Surveillance & Intermittent Representative / registered directors (Arguably) other very senior executives with extensive autonomy and authority Exempt from Labor LSA entirely Very senior executives/managers with autonomy over their work hours and significant authority over employees’ working conditions Subject to LSA but exempt from most wage- and-hour rules Jobs involving mostly waiting and watching without active work, e.g., manning a front desk Subject to LSA but exempt from most wage-and-hour rules with approval from MOEL Also various industry exemptions for various kinds of agricultural, forestry, breeding, fishing, and cultivation work

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