Voluntary Resignation Unemployment Benefits: All You Need to Know

Unemployment benefits are an important support system for job seekers, and can be received for up to 12 months after leaving a job. The conditions and amount vary depending on the individual's situation, and compliance with the conditions is necessary to avoid legal penalties. Unemployment benefits provide temporary economic stability to job seekers and help them search for employment opportunities.

 

Unemployment benefits, also known as jobseeker's allowance, are financial benefits provided to support job seekers. They can be received for up to 12 months starting from the day after leaving a job. However, to receive unemployment benefits, several conditions must be met.

 

The basic conditions for receiving unemployment benefits are as follows:

1. Enrollment in employment insurance:
   To receive unemployment benefits, there must be a work history of having worked at a job that has been insured for at least 180 days over the previous 18 months. This typically means having received a monthly salary for at least 6 months.
   
   
2. Non-voluntary resignation:
   To receive unemployment benefits, the resignation must be non-voluntary. This means being fired or being recommended to resign. However, even if one voluntarily resigns, they may still be eligible to receive unemployment benefits if they meet the requirements according to the Employment Insurance Act Enforcement Rule. (See below for conditions for receiving unemployment benefits for voluntary resignation.)
   
   
3. Job search activities:
   To receive unemployment benefits, job search activities must be performed. This includes activities such as looking for new job opportunities, preparing for employment, and checking job postings.

 

In addition, the amount of unemployment benefits varies depending on the age, disability status, and length of enrollment in employment insurance. Unemployment benefits are generally calculated based on the minimum wage, and if a recipient finds employment, they can still receive the remaining benefits.

 

If a recipient finds employment early, they can also apply for early re-employment allowance for additional benefits. They can receive this allowance after one year has passed since being employed. In addition, if a recipient starts a self-employed business and receives unemployment benefits at least once for self-employment recognition, they can also apply for early re-employment allowance.

 

Conditions for receiving unemployment benefits after voluntary resignation

Justifiable reasons for leaving job without disqualifying for unemployment benefits (related to Article 101, Paragraph 2)

1. If any of the following reasons apply and have occurred for two months or more within one year prior to separation:

a. Actual working conditions have become worse than the working conditions presented at the time of employment or the working conditions that were generally applied after employment.

b. Unpaid wages.

c. Wages for regular working hours are less than the minimum wage under the Minimum Wage Act.

d. Violation of the restrictions on extended work under Article 53 of the Labor Standards Act.

e. Received less than 70% of the average wage before the business shutdown.

 

2. If the employee received unreasonable discrimination based on religion, gender, physical disability, or labor union activity.

 

3-1. If the employee was subjected to sexual harassment, sexual violence, or other forms of sexual harassment against their will in the workplace.

3-2. If the employee was subjected to harassment in the workplace under Article 76-2 of the Labor Standards Act.

 

4. If the business is certain to go bankrupt or close down, or a large-scale layoff is planned.

 

5. If the employer recommends retirement due to the employee's circumstances or if the employee is recruited for retirement according to an employment adjustment plan that cannot be avoided due to personnel reduction, such as:

a. Transfer, acquisition, or merger of the business.

b. Closure or conversion of part of the business.

c. Abolition or reduction of the organization due to job restructuring.

d. Changes in work patterns due to the introduction of new technologies or technological innovation.

e. Deterioration of management, personnel stagnation, or other similar reasons.

 

6. If commuting becomes difficult due to any of the following reasons, where commuting time to the workplace using the normal means of transportation takes more than 3 hours per round trip:

a. Relocation of the workplace

b. Transfer to a workplace in a different location

c. Relocation of residence for cohabitation with spouse or dependent relatives

d. Other unavoidable reasons that make commuting difficult

 

7. If the insured resigns due to the company not allowing leave or absence during a period of 30 days or more in which the insured has to take care of a parent or dependent relative due to illness or injury

 

8. If a workplace where a "serious accident" occurred under Article 2, Paragraph 2 of the Industrial Safety and Health Act, and which was exposed to the same risk of the accident by failing to correct the safety and health measures ordered by the Minister of Employment and Labor until the correction period

 

9. If the insured is objectively recognized based on a medical certificate or employer's opinion that they are unable to perform the given tasks due to physical limitations, mental disorders, illness, injury, decreased vision, hearing, or tactile sensitivity, and had to resign due to the inability to change the nature of the work or allow leave or absence for business reasons.

 

10. If the insured had to resign due to the inability to continue working due to pregnancy, childbirth, childcare for children under the age of 8 or in elementary school (including adopted children), or military service obligations under the Military Service Act, and the employer did not allow leave or absence.

 

11. If the employer's business becomes illegal due to the enactment or revision of laws, or if the employer produces or sells goods or services that are prohibited by laws, which was not the case at the time of employment.

 

12. If the insured is unable to continue working due to reaching retirement age or the expiration of the contract period.

 

13. If it is objectively recognized that the insured would have resigned even if they were a regular worker in the same situation based on the circumstances of the insured and the workplace, among other conditions.

Enforcement Rule of the Employment Insurance Act [Annex 2] <Revised on December 31, 2019>

 

Unemployment benefits should never be received illegally!!

If one receives unemployment benefits illegally, serious legal sanctions will follow. If a recipient of unemployment benefits provides labor, fails to report the fact of employment or self-employment or the fact of income generation, or submits false reemployment activities, the payment of unemployment benefits will be restricted, and the amount of unemployment benefits received may be returned and additional collection may be made. In addition, a maximum of five years of imprisonment or a fine of up to KRW 50 million may be imposed. The following are examples of illegitimate receipt of unemployment benefits.

• If one falsely reports the acquisition and loss of insured qualifications
• If one excessively reports the wage amount that serves as the basis for calculating the wage basis amount
• If one falsely reports the reason for leaving a job
• If one reports being unemployed while being employed
• If one continues to receive unemployment recognition while hiding the fact of employment
• If one fails to report or falsely reports income from one's own labor
• If one falsely reports reemployment activities
• If one fails to report the confirmed fact of employment or self-employment
• If one makes various false reports to receive job search allowances
• If one makes various false reports to receive injury allowances
• If someone other than the recipient (including family members) applies for the recipient qualification or unemployment recognition on behalf of the recipient

Unemployment benefits are an important economic support for job seekers. If one meets the appropriate conditions and applies, one can receive a living expense for a certain period of time and can help find a new job. However, even while receiving unemployment benefits, it is important to actively continue job search activities and comply with relevant policies and regulations.

 

 

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