Legislative Trends in Acts Related to Childcare Support and Wage Payment Delays

Amendments to three childcare-related laws, including the Equal Employment Opportunity Act, the Employment Insurance Act, and the Labor Standards Act (“LSA”) (collectively referred to as these “Amendments”), which are aimed at strengthening parental co-care and promoting work life-family balance, were passed in the plenary session of the National Assembly on September 26, 2024, and were enacted on October 22, 2024.

These Amendments focus on extending the period of maternity leave and reducing working hours for childcare, and extending the period of childcare leave of absence for working couples.

A summary of the key details of these Amendments are as follows:

Item

Key Details

Childcare Leave of Absence

Classification	Current	Amendment
Period	Up to one year	Up to 18 months (for each parent using at least three months / a single-parent / parents of a child with a severe disability)
Use	Up to three separate periods	Up to four separate periods

Effective Date: February 23, 2025

Paternity Leave

Classification	Current	Amendment
Period	ten days	20 days
Government Support	five days (SMEs)	20 days (SMEs)
Use	Up to two separate periods	Up to four separate periods
Deadline	Request within 90 days after childbirth	Use within 120 days after childbirth

Effective Date: February 23, 2025

Reduction of Working Hours for Period of Childcare

Classification	Current	Amendment
Subject to Age of Child	Eight years of age or younger	12 years of age or younger
Period	Up to two years (one year + unused period of childcare leave of absence)	Up to three years (one year + unused period of childcare leave of absence x 2)
Use (Minimum at One Time)	At least three months	At least one month
Calculation of Annual Leave	Excluded	Included

If a relevant employee does not take a childcare leave of absence, the period for a reduction of working hours will be extended from 24 months to 36 months (three years).
Effective Date: February 23, 2025 (provided that the calculation of annual leave has been effective from October 22, 2024)

Reduction of Working Hours During Pregnancy

Classification	Current	Amendment
Use	Within the first 12 weeks or after 36 weeks	Within the first 12 weeks or after 32 weeks (note: for a high-risk person, e.g., premature labor or having twins or more, the entire pregnancy period with a doctor’s certificate)
Calculation of Annual Leave	Excluded	Included

Effective Date: February 23, 2025 (provided that the calculation of annual leave has been effective from October 22, 2024)

Calculation of Annual Leave

The childcare leave of absence period has been recognized as attendance at work and included in the calculation of annual leave in accordance with the LSA, while the hours representing reduced working hours for childcare and during one’s pregnancy are calculated only in proportion to the hours worked. However, under these Amendments, the reduced working hours during childcare and the pregnancy will also be included in the calculation of annual leave.
Effective Date: October 22, 2024

Maternity Leave (For Premature Birth of the Baby Requiring Hospitalization in a Neonatal Intensive Care Unit)

Classification	Current	Amendment
Period	90 days	100 days

Effective Date: February 23, 2025

Subfertility Treatment Leave

The period of subfertility treatment leave is extended from three days to six days per year, with at least two of those days required to be paid leave (currently, one day).
By establishing a new provision for wage support during the above-mentioned paid leave, the burden on employers of SMEs will be mitigated.
The obligation for employers to maintain confidentiality is newly established.

Classification	Current	Amendment
Period	Three days per year (including one paid leave day)	Six days per year (including two paid leave days)
Government Support	Not applicable	SMEs
Confidentiality	Not applicable	Applicable

Effective Date: February 23, 2025 (provided that the calculation of annual leave has been effective from October 22, 2024)

Addenda Deleted

These Amendments will exclude the related addenda following enforcement thereof.
Employees who took a childcare leave of absence and reduced working hours for a period of childcare and used them for the entire one year before October 1, 2019, will also be eligible for benefits under the expanded systems.

Effective Dates

These Amendments were enacted on October 22, 2024, and are expected to take effect four months after promulgation thereof, on February 23, 2025.
However, the improvement regarding the calculation of annual leave in case of a reduction in working hours for childcare or during the pregnancy, as well as the employer’s obligation to keep confidential information about subfertility treatment leave, have been effective from October 22, 2024, the date of promulgation.

In order to create a work life-family balance where both can thrive, the regulations related to childcare are undergoing changes on an annual basis. Notably, these Amendments are set to bring about significant changes to the childcare support system, making it essential for both employers and employees to thoroughly understand such legislative trends.

We also note that an amendment to the LSA aimed at eradicating habitual wage payment delays was also enacted on October 22, 2024, and is expected to take effect one year after the promulgation, on October 23, 2025. Going forward, to strengthen the effectiveness of sanctions, the interest on wage payment delays (20% per annum), which currently applies only to retired employees, will also be expanded to apply to current employees. Additionally, the application of a non-prosecution clause against the employees’ will for employers those who have been found guilty two times or more within three years and have delayed payments of over KRW 30 million within the past year will be excluded.

With the adoption of strong penalties for habitual wage payment delays in this amendment to the LSA, it is expected that monitoring by the relevant authorities will intensify. Therefore, it is important to understand the relevant provisions and to review the wage system with a focus on preventing delays in wage payments.

[Korean Version]

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