1. Reason for amendment
With the Amendment of the Act on the Collection of Insurance Premiums, Etc. for Employment Insurance and Industrial Accident Compensation Insurance (Act No. 17858, promulgation on January 5, 2121, enforcement on January 1, 2022) so that employment insurance is applied to the labor platform business with the establishment of Article 77-7 of the Employment Insurance Act and employment insurance premium is collected in keeping with such application, the aim is to prescribe the withholding deduction method of employment insurance premium of the labor platform business for quick service drivers and designated drivers newly added as subjects for withholding deduction of employment insurance, report of monthly wages, and information to be provided, etc. and to adjust the insurance rate for unemployment allowance account for the financial integrity of employment insurance fund, which has worsened due to expenditure to overcome the COVID-19 crisis.
2. Main Content
A. Adjustment of insurance rate of unemployment allowance (Article 12, Article 56-5, and Article 56-6 of the draft)
With the worsened financial state of the employment insurance fund due to the expenditure for enterprises’ maintenance of employment and new employment of youth, etc. to overcome the COVID-19 crisis, the insurance rate of unemployment allowance account is adjusted (by 0.2%) so that employers and employees, artists, or labor suppliers each bear 0.1%.
B. Clarification of subjects for application of reference wages of artists or labor suppliers (Article 3 and Article 19-3 of the draft)
As the provisions on reference wages are divided into two clauses, they are unified into one clause, and subjects for application of and exemption from reference wages are clearly stated.
C. Statement of subjects of reports for the calculation of insurance premium of labor platforms (Article 19-3 and Article 56-7 of the draft)
Labor platform operators shall report the monthly wages of quick service drivers and designated drivers, with the range of data to be supplied under the Act and withholding deduction method, etc. prescribed.
D. Subjects and procedure for support of employment insurance premium (Article 28, Article 29-2, Article 29-3, and Article 30 of the draft)
Short-term labor suppliers among labor platform employees are supported with employment insurance premium based on the “labor supply confirmation report,” and day-to-day workers are also supported with employment insurance premium based on the earned income payment statement.
