1. Reasons for Amendment

As the Industrial Accident Compensation Insurance Act was revised (Act No.18928; promulgated on June 10, 2022, and to be enforced on July 1, 2023) such as abolishing the exclusiveness requirement of the Industrial Accident Compensation Insurance Act to eliminate the blind spot of the industrial accident compensation insurance for persons in special types of employment and establishing a new definition of “labor provider” as a concept that encompasses existing persons in special types of employment and online platform workers, this amendment aims to determine matters entrusted by the Act such as standards for monthly wages of labor providers, reporting of business suspension, and standards for reduction of industrial accident compensation insurance premiums for labor providers, and matters necessary for their implementation.

2. Major Provisions

A. Reorganize individual performance rate application standards (Articles 15 and 18)

Reorganize the standard for calculating the number of full-time workers to determine a business (site) to which the individual performance rate is applied in order to reflect the revised Act which redefines persons in special types of employment as labor providers and exclude labor providers from the scope of application of the individual performance rate for a business (site).

B. Subjects of request for provision of data to impose and collect insurance premiums from labor providers covered by industrial accident compensation insurance (Article 54-2 (2) and (3)) 

Specify institutions/organizations subject to request for data provision, such as courier companies, and the data that may be requested, such as a list of labor providers, in order to impose and collect insurance premiums from labor providers.

C. Monthly wage reporting standards for labor providers covered by industrial accident compensation insurance (Article 56-8)

Prescribe “non-taxable income” and “necessary expense ratio” as valuables excluded from other income when calculating the monthly wages of labor providers covered by industrial accident compensation insurance, and since it is difficult to verify their income, prescribe construction site truck owners and construction machinery workers as occupations that use a standard wage.

D. Reporting of the suspension of work by labor providers covered by industrial accident compensation insurance (Article 56-9)

Prescribe cases of unavoidable suspension of work due to injury/illness, pregnancy/childbirth/childcare, and reasons attributable to employers, and the case of other natural disasters as reasons for reporting the suspension of work by labor providers covered by industrial accident compensation insurance.

E. Calculation of the premium born by labor providers covered by industrial accident compensation insurance (Article 56-10)

Specify the calculation method for insurance premiums shared by labor providers covered by industrial accident compensation insurance and employers to be calculated by multiplying the monthly wage by 1/2 of the industrial accident compensation insurance premium rate.

F. Reduction or exemption of insurance premiums for labor providers covered by industrial accident compensation insurance (Article 56-11)

Change the subjects of industrial accident compensation insurance premium reduction or exemption from persons in special types of employment to labor providers covered by industrial accident compensation insurance, and newly insert criteria for exemption from industrial accident compensation insurance premiums for labor providers covered by industrial accident compensation insurance.

G. Report and correction of monthly wages of labor providers covered by industrial accident compensation insurance (Articles 56-12 and 56-13)

Determine the method for reporting the monthly wages of labor providers covered by industrial accident compensation insurance, provide a provision allowing to report tax data to the National Tax Service, etc., in lieu of the Korea Workers' Compensation and Welfare Service, and establish reporting methods and standards for occupations of labor providers covered by industrial accident compensation insurance who use standard wages.

H. Withholding and payment of industrial accident compensation insurance premiums for platform workers (Article 56-14)

Prescribe methods and criteria for withholding and paying industrial accident compensation insurance premiums by platform operators or business entities using platforms.

I. Reporting monthly wages and payment, etc., by platform operators (Articles 56-15 and 56-16)

Allow platform operators to report the details of labor provision and monthly wages of platform workers and establish provisions for platform operators to pay insurance premiums.

J. Subsidization for platform operators (Article 56-17)

Prescribe the type of subsidies and payment standards to be subsidized by the industrial accident compensation insurance fund in cases where a platform operator performs insurance business such as reporting monthly wages and paying industrial accident compensation insurance premiums.