In a focused inspection ahead of Chuseok, over 10.5 billion won in wage arrears was uncovered across more than 7,000 workplaces.
The Ministry of Employment and Labor reported on September 22 that its 49 regional offices conducted on-site inspections at 7,079 businesses from September 1 to 21, revealing a total of 10.54 billion won in unpaid wages.
In 59 locations where significant wage arrears were identified or where many workers were affected, local office directors personally visited to oversee the resolution of the arrears.
During this process, it was confirmed that 63 workers at a construction site in Icheon were owed 270 million won, 42 workers at a cosmetics manufacturer in Mapo-gu were owed 170 million won, and 44 workers at a hospital in Jangheung were owed 67 million won. These three businesses have since settled their wage arrears.
Employers unable to pay wages due to financial difficulties are encouraged to utilize the 'Wage Arrears Settlement Support Loan Program.' For those who cannot settle the arrears independently, the government provides guidance on a large payment system that covers part of the unpaid wages and offers living expense loans for affected workers.
As part of measures to stabilize livelihoods ahead of Chuseok, the processing period for the simplified large payment system will be reduced from 14 days to 7 days until October 31. Additionally, the interest rate for living expense loans for affected workers will be lowered from 1.5% to 1.0%.
Minister of Employment and Labor Kim Young-hoon stated, "Wage arrears are a serious social issue that impacts not only the livelihoods of individual workers and their families but also the local economy. We will do our utmost to assist as many wage arrears victims as possible to ensure a warm Chuseok holiday for all workers."
* This article has been translated by AI.
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