MOEL Vows Strict Action Against Habitual Wage Defaulter in Busan

The Ministry of Employment and Labor (MOEL) has announced stringent measures against a nursing hospital in Busan’s Dong-gu district following repeated incidents of unpaid wages to its staff. Emphasizing its commitment to protecting workers’ rights, MOEL stated it would conduct a thorough investigation into all wage arrears and maintain strict oversight.

The issue came to light in February, with the Busan Regional Ministry of Employment and Labor receiving numerous reports of wage defaults at the facility. This prompted an initial comprehensive investigation in March, which confirmed 480 million Korean Won (approximately $350,000 USD) in unpaid wages for January and February. Corrective orders were issued, and most of these initial amounts have since been paid.

However, the problem has persisted, with employees continuing to report unpaid wages for March and April, as well as outstanding severance pay. In response, MOEL announced it would expedite the processing of new reports and launch an additional full investigation this week. The ministry plans to confirm all outstanding amounts and issue further corrective actions.

MOEL warned that if the hospital fails to comply with the corrective measures, it would immediately initiate criminal proceedings against the institution. Furthermore, to alleviate hardship for affected workers, MOEL will provide support through its Wage Claim Guarantee Fund, offering advanced payments for unpaid wages and severance, alongside living expense loans for those facing financial difficulties.

Vice Minister Kwon Chang-jun underscored the gravity of the situation, stating, “Wage default is a serious crime that threatens the livelihoods of workers. We will hold habitual defaulters strictly accountable and do our utmost to carefully attend to and protect the difficulties faced by workers.” The Ministry’s actions highlight the South Korean government’s resolve to enforce labor laws and ensure fair treatment for all employees.

Source: 고용노동부 — Original Article (Korean)