South Korea proposes shift in insurance from hours to income

The revisions would mark the first major change to the system since 1995.

South Korea’s Ministry of Employment and Labour has proposed legislative amendments that would change the basis for employment insurance eligibility from working hours to income, reported Maeil Business Newspaper.

If passed, the revisions would mark the first major change to the system since its introduction in 1995.

Under the proposed amendment to the Employment Insurance Act and the Employment Industrial Accident Insurance Premium Collection Act, workers earning above a certain income threshold would be eligible for employment insurance regardless of how many hours they work. 

This aims to include freelancers, platform workers, and short-term workers who were previously excluded due to the current 60-hour monthly (15-hour weekly) minimum requirement.

The change would also allow individuals with multiple part-time jobs to qualify for coverage if their combined income meets the threshold, even if earnings from each job alone do not.