S. Korea to expand employment insurance to cover self-employed people
- 4 years ago
'전 국민 고용보험' 2025년에 완성...취업자 2천 100만명 가입
One of the main parts of the government's Korean New Deal is strengthening the social safety net.
The government has announced an expansion of employment insurance..., to cover virtually everyone, even the self-employed and freelancers.
Kim Sung-min reports. In an effort to strengthen the country's social safety net, the South Korean government is aiming to put all sectors of workers under employment insurance by 2025.
"Since the country is experiencing the COVID-19 outbreak, the need to protect new forms of employment such as freelancers and those who are hired under special contracts has become an urgent task."
Under the proposed changes, freelancers and the self-employed who are not currently covered by employment insurance would benefit.
This is similar to the current Danish model where everyone who is working is covered by insurance based on their income.
The groups affected by the change include non-standard contract employees like artists, delivery workers, insurance agents and caregivers.
This will bring the current 14-million-odd beneficiaries up to around 20 million by 2025.
However, this change would still not cover certain groups like soldiers, public servants and private school teachers.
The expansion will gradually take place from next year starting with artists and those who are categorized as special-contract groups.
Once these groups fall under the insurance, they can receive unemployment benefits of up to 60-percent of their income for nine months if they lose or transfer their jobs.
They are also eligible for occupational health and safety insurance and maternity support.
The changes require amendments to some of the current employment insurance laws.
For example, right now, employment insurance is based on wages, but this standard will have to be based on income.
The labor ministry says it will cooperate with other departments to come up with a specific road map to get information on income.
Laying the groundwork, the government has already made some changes in the related laws to include the new groups and is aiming to finalize the changes by the end of this year.
Kim Sung-min, Arirang News.
One of the main parts of the government's Korean New Deal is strengthening the social safety net.
The government has announced an expansion of employment insurance..., to cover virtually everyone, even the self-employed and freelancers.
Kim Sung-min reports. In an effort to strengthen the country's social safety net, the South Korean government is aiming to put all sectors of workers under employment insurance by 2025.
"Since the country is experiencing the COVID-19 outbreak, the need to protect new forms of employment such as freelancers and those who are hired under special contracts has become an urgent task."
Under the proposed changes, freelancers and the self-employed who are not currently covered by employment insurance would benefit.
This is similar to the current Danish model where everyone who is working is covered by insurance based on their income.
The groups affected by the change include non-standard contract employees like artists, delivery workers, insurance agents and caregivers.
This will bring the current 14-million-odd beneficiaries up to around 20 million by 2025.
However, this change would still not cover certain groups like soldiers, public servants and private school teachers.
The expansion will gradually take place from next year starting with artists and those who are categorized as special-contract groups.
Once these groups fall under the insurance, they can receive unemployment benefits of up to 60-percent of their income for nine months if they lose or transfer their jobs.
They are also eligible for occupational health and safety insurance and maternity support.
The changes require amendments to some of the current employment insurance laws.
For example, right now, employment insurance is based on wages, but this standard will have to be based on income.
The labor ministry says it will cooperate with other departments to come up with a specific road map to get information on income.
Laying the groundwork, the government has already made some changes in the related laws to include the new groups and is aiming to finalize the changes by the end of this year.
Kim Sung-min, Arirang News.