Changes to South Korea’s Employee Retirement Benefit Security Act (ERSA) announced in May 2019 will take effect on 30 Apr 2020, under the enforcement decree promulgated 29 Oct 2019. Certain revisions to the act took effect in July 2019.
Interim settlements for medical costs. To qualify for interim payment of medical costs, employees’ medical costs will have to total least 12.5% of salary.
Stricter governance requirements. Governance reforms for defined benefit (DB) plans include the following: