Government to Increase Industrial Accident Insurance Enrollment for Delivery and Courier Workers... Expanding 'Public Care' (Comprehensive)

Launch of 'Essential Workers Government-wide TF' on the 6th... Announcement of Labor Environment Improvement Measures
Revision of Exclusive Industrial Accident Criteria for Special Employment, Restriction on Exemption Application Reasons
Establishment of Social Service Centers in 17 Cities and Provinces... Improvement of Care Service Workers' Treatment

Asia Economy DB=Photo by Mun Ho-nam munonoam@

[Asia Economy Reporter Kim Bo-kyung] The government plans to push for legal amendments in the first half of next year to expand industrial accident insurance coverage for special-type workers (STWs) such as delivery and courier workers. In 2022, it will also improve the treatment of care service workers by establishing 'Social Service Centers' that directly provide care services publicly in all cities and provinces.

On the 6th, the government held the first meeting of the Essential Workers Inter-Ministerial Task Force (TF) chaired by Kim Yong-beom, First Vice Minister of Strategy and Finance, and Lim Seo-jung, Vice Minister of Employment and Labor, announcing measures to strengthen the safety and protection of essential workers.

Essential workers refer to face-to-face laborers who provide core services to maintain the life, safety, and social functions of the public. This includes healthcare and care workers, delivery workers, sanitation workers, and courier workers. These jobs are characterized by poor working conditions and unstable employment, and the spread of COVID-19 has increased workload and labor intensity, thereby heightening the risk of industrial accidents.

Vice Minister Lim stated, "Essential workers support our non-face-to-face daily lives amid COVID-19, but the reality is that they face poor working environments such as low wages and unstable employment." This meeting focused on the first set of measures for essential workers prepared mainly by the Ministry of Employment and Labor, with plans to develop additional support measures through discussions among related ministries. The first measures consist of ▲strengthening safety and health protection ▲preventing overwork and improving working conditions ▲fair compensation and expanding safety nets ▲customized support measures by sector.

Expansion of Industrial Accident Insurance for STWs such as Delivery Workers... Relaxation of Exclusivity Criteria

First, the government will prepare a plan to reform the exclusivity criteria to expand industrial accident insurance coverage for STWs and platform workers such as delivery workers by the first half of next year. Under the current Industrial Accident Compensation Insurance Act, only STWs who provide labor 'mainly to one business' are eligible for industrial accident insurance, but considering legal issues and the unique characteristics of each sector and occupation, this will be revised. Delivery workers contracted with multiple delivery platforms such as Coupang Eats and Baedal Minjok will also be able to receive industrial accident insurance benefits.

The reasons for exclusion applications, which have been pointed out as causes for low industrial accident insurance enrollment rates, will also be limited. Applications for exclusion from coverage will only be allowed in cases of the worker's illness, childcare, or business owner's fault-related leave.

[Image source=Yonhap News]

Vice Minister Lim said, "Apart from legal issues, the Korea Workers' Compensation and Welfare Service is making efforts to sign MOUs with delivery companies so that delivery workers affiliated with those companies can enroll in industrial accident insurance," adding, "Along with legislative considerations, we will strive to expand industrial accident insurance enrollment on the ground."

Expansion of Public Care and Welfare Service Workforce... Improvement of Wages and Treatment

The treatment of care service workers, who have suffered from low wages and long working hours, is also expected to improve. Next year, 38.4 billion KRW will be invested to expand the workforce by 3,051 people in social welfare facilities with 5 to 49 workers. For government-supported social welfare facilities, the unit cost will be set higher than the common treatment improvement rate (0.9%) to increase labor costs.

Additionally, by 2022, Social Service Centers will be established in all 17 cities and provinces to expand the areas where social services for elderly, disabled, and child care are directly provided by the public sector. It is expected that quality care service jobs will increase through regular employment.

The Ministry of Employment and Labor is also promoting the enactment of the 'Domestic Worker Employment Improvement Act' to bring the private domestic service market into the light and legally protect domestic workers.

Furthermore, to improve working conditions for sanitation workers, 70% of the cost for purchasing supplies in rest facilities will be supported, and manuals containing health protection measures for customer-facing workers such as elderly caregivers will be produced. The employment subsidy criteria for workers aged 60 and over in industries such as sanitation, disinfection, and transportation will be lowered (300,000 KRW per person per quarter) to increase the elderly workforce.

In the healthcare sector, in preparation for the prolonged COVID-19 pandemic, 557 personnel will be added to 14 public hospitals. The guidelines will also be revised to specify that unreasonable demands from COVID-19 inpatients constitute 'interference with legitimate medical treatment.'

Asia Economy DB=Photo by Dongju Yoon doso7@

Preventing Overwork of Courier Workers and Establishing Standard Contracts... Improving Working Conditions

To address the overwork issue of courier workers, a survey will be conducted, and based on the results, measures to prevent overwork and protect health will be prepared by February next year.

To prevent traffic accidents involving delivery workers, an 'Information Sharing Platform' that guides high-risk accident areas will be developed and distributed next month in connection with delivery apps. Within this month, guidelines containing legal obligations and recommendations that delivery agency business owners must follow when contracting labor provision will be distributed.

In December, standard contracts for delivery, agency drivers, and quick service workers will be prepared. The standard contracts will prohibit unfair transactions against STWs and stipulate safety and rights protection. Employment insurance coverage for STWs will be gradually expanded to strengthen the social safety net, and a 'Roadmap to Eliminate Employment Insurance Blind Spots' will be announced by the end of the year.

Vice Minister Lim emphasized, "In a situation where it is uncertain how long the COVID-19 crisis will continue, if protection and treatment improvements for essential workers are not timely, social unrest may intensify," adding, "It is urgent to improve the working environment of essential workers who play an important role in protecting the safety and health of the public and supporting the non-face-to-face society."

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