Our Thinking / Law and Policy Group /
S. Korea Mulls Changes to Employee Retirement Benefit Security Act


A group of legislators have introduced proposed reforms (Korean) of South Korea’s Employee Retirement Benefit Security Act (ERBSA).
Highlights
- Key provisions would: Require all employers to adopt an ERBSA pension plan by 2026, with the mandate applying to large employers before smaller employers
- Place tighter restrictions on interim settlement regarding amounts and eligibility
- Require employers with at least 300 employees to update their investment policy statement at least every year
- Allow employers with no more than 30 employees to adopt pension funds approved by an employee representative
- Include specialized educational institutions in pension plan education programs for employees
- Impose fines of up to KRW 10 million on employers that fund less than the statutory requirement
Related Resources
- Proposed reforms of the Employee Retirement Benefit Security Act (Korean) (Legislative Assembly, 11 June)
Speak with a Mercer Consultant
Provide your contact information to get in touch
*Required Fields