Labor Shortage During Peak Farming Season... Temporary Suspension of Foreign Seasonal Worker Program Due to COVID-19

Suspension of 90-Day Short-Term Employment C-4 Visa

Postponement of Introduction of 5-Month Stay E-8 Visa

Temporary Suspension of New Issuance of E-9 and H-2 Visas

[Asia Economy Reporter Kim Min-young] The government has decided to temporarily suspend the operation of foreign seasonal worker programs such as E-8 and C-4 visas due to concerns over the spread of the novel coronavirus infection (Wuhan pneumonia), causing an emergency in rural areas. If the prolonged COVID-19 situation makes it impossible to deploy foreign workers for extended periods, employers are expected to face increased labor cost burdens.

According to the Ministry of Justice and the Ministry of Agriculture, Food and Rural Affairs on the 10th, the government has decided to suspend the operation of the seasonal work visa C-4, which allows short-term employment for 90 days, and the E-8 visa system, which allows a maximum stay of up to 5 months, for the time being. The seasonal work visa system was introduced to legally employ foreigners when there is high labor demand in rural areas during busy farming seasons.

According to the seasonal foreign worker operation status announced by the Ministry of Justice, the number of foreign seasonal workers increased steadily from 19 in 2015 to 200 in 2016, 1,085 in 2017, 2,824 in 2018, and 3,600 in 2019. The allocation scale, which indicates the demand for foreign seasonal workers by local governments, also surged from 19 in 2015 to 4,211 in 2019.

As demand for foreign workers increased due to rural population decline and labor shortages caused by aging in rural areas, the Ministry of Justice established the E-8 system last December, extending the working period to 5 months beyond the C-4 visa, which allowed work only within 90 days. However, the operation was halted from the first year of implementation.

According to the Ministry of Justice’s original plan, after notifying each local government of the allocation results on the 10th based on the seasonal worker demand survey, foreign workers were to be deployed to rural sites starting next month. However, as the coronavirus rapidly spread not only in China but also in Southeast Asia including Thailand and Vietnam, the government decided to monitor the situation before deciding on the operation.

A Ministry of Justice official said, "We have only notified the allocations to local governments on the 10th, and the actual operation will be decided after observing the coronavirus-related situation. The issuance of new visas will be determined according to the government's response direction."

Rural areas, facing the upcoming sowing season, are anxiously concerned about potential labor shortages. A Ministry of Agriculture, Food and Rural Affairs official said, "Rural areas hope the government will finalize its stance before March, when the busy season begins. If the foreign seasonal worker program is suspended, we are considering measures such as expanding the employment support project that connects farm laborers."

Industrial sites are also worried about labor shortages. The new issuance of E-9 visas for non-professional foreign workers and H-2 visas for special employment of overseas Koreans is also temporarily suspended.

As of the end of last year, 24,500 foreign workers held E-9 visas, and 131 held H-2 visas. Employers, who have preferred foreign workers due to relatively lower labor costs compared to domestic workers amid minimum wage increases, are expected to face increased labor cost burdens.

This content was produced with the assistance of AI translation services.