"The Company Doesn't Provide Pay Slips"... Light Punishments Even When Laws Are Not Followed

Office workers are moving for lunch in Myeongdong, Seoul. Photo by Mun Honam munonam@

It has been revealed that many workers still find it difficult to know their exact monthly salary because they do not receive wage statements from their companies. According to the amended Labor Standards Act, which came into effect last November, companies are required to provide wage statements to all employees, but there have been almost no cases of fines imposed for violations.

According to an analysis by Workplace Bullying 119 of data received from the Ministry of Employment and Labor through Rep. Yoon Gun-young of the Democratic Party, out of 854 reported cases of 'violation of the obligation to prepare and provide wage statements' since last November, only 5 cases resulted in fines. This accounts for just 0.6% of the total.

The investigation found that the proportion of workers not receiving wage statements was higher among those with unstable jobs, in smaller workplaces, and with lower salary levels.

According to a survey conducted in June by polling specialist firm Embrain Public, commissioned by Workplace Bullying 119 and the Public Mutual Growth Fund, among 1,000 workers aged 19 and older, 30.8% of non-regular workers responded that they did not receive wage statements.

Workers in workplaces with fewer than 5 employees accounted for 48.1%, and those earning less than 1.5 million KRW per month were 35.1%. Considering the overall average of 17.4% among all respondents, it shows that workers in poorer conditions have more difficulty accurately understanding their wages.

Although it is illegal not to provide wage statements, in reality, compliance is often lacking. More than half (51.8%) of respondents answered that they were unaware that employers could be fined for failing to provide wage statements or for falsifying them.

Workplace Bullying 119 pointed out, "It is only natural to inform workers of their net pay," and criticized, "Although a fine of up to 5 million KRW should be imposed for violating the obligation to provide wage statements, the Ministry of Employment and Labor is arbitrarily applying the law."

Not only wage statements but also employment contracts were not received by 22.6% of all respondents. This rate was higher among non-regular workers (32.8%), workers in workplaces with fewer than 5 employees (43.5%), and those earning less than 1.5 million KRW per month (40.4%).

According to data submitted by the Ministry of Employment and Labor to Rep. Yoon Gun-young’s office, out of 51,481 reported cases of employment contract violations over the past three and a half years, only 17,734 cases (34.4%) resulted in criminal prosecution with fines.

Labor attorney Park Sung-woo of Workplace Bullying 119 said, "The fact that only 5 fines have been imposed for violations related to wage statements is tantamount to the government actively promoting the idea that 'labor laws do not have to be followed.'"

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