[HOAM Foreign Law Column] Unpaid Wages & Overtime: Know Your Rights

Wage arrears and unpaid overtime are the most common grievances for foreign instructors in Korea. Under the Labor Standards Act (LSA), your rights to fair compensation are strictly protected, regardless of the 'Freelancer' label in your contract or your visa status.

1. The 5-Employee Rule and Overtime (50% Premium)

The level of protection depends heavily on the size of your hagwon.

• 5 or More Employees: You are entitled to a 50% premium for overtime (hours exceeding 8 per day or 40 per week), night work (10 PM – 6 AM), and holiday work.
• Fewer than 5 Employees: The 50% premium does not apply. However, the employer MUST pay your base hourly wage for every single minute you work. Paying a flat 'monthly salary' that covers unlimited hours is illegal if it falls below the minimum wage for total hours worked.

2. Is 'Prep Time' and 'Meetings' Paid?

Yes. If your hagwon requires you to be at the office for curriculum planning, teacher training, or staff meetings, these are legal working hours. Many hagwons only pay for 'teaching hours,' but this is a violation of the LSA. You have the right to claim back-pay for all mandatory attendance time.

3. Unauthorized Deductions from Salary

Your employer cannot unilaterally deduct money from your paycheck for things like 'recruitment fees,' 'visa processing,' or 'penalties for being late' unless explicitly agreed upon in a way that doesn't violate the LSA. Legally, the full salary must be paid directly to you.

4. How to Claim Unpaid Wages

If your employer refuses to pay, you should file a complaint with the Ministry of Employment and Labor (MOEL).

• Evidence is Critical: Keep a detailed daily log of your arrival and departure times. Save all class schedules and KakaoTalk messages from your boss directing you to work.
• The Process: A labor inspector will investigate. If they confirm the unpaid wages, they will issue a 'Notice of Payment.' Failure to comply can lead to criminal charges against the owner.

5. Why Hoam Law Firm?

Filing a petition with the MOEL as a foreigner is difficult due to language barriers and complex labor laws. Hoam Law Firm provides expert legal representation to ensure your work hours are calculated correctly. We handle the communication with labor inspectors and, if necessary, file civil lawsuits to seize the hagwon's assets, ensuring you receive your hard-earned money.

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