Hello, business owners! 🙌🏻
Today, we’re covering a somewhat serious topic, but one that you must know in order to protect your valuable business.
The first step to stable business operation is checking the rules accurately. To help you prevent risks that may arise from not fully understanding the relevant regulations and keep your business safe, we’ve organized the key points you must check when hiring foreign workers.
🔍 Three Employment Types You Must Check Carefully
To prevent unintended illegal employment or administrative mistakes, you first need to check these three situations.
The first is employing a foreign national whose stay in Korea is lawful, but whose status of stay does not permit employment activities. The second is employing someone at a location other than the business site that has been authorized, even if they hold a visa that allows work. A representative example is sending an E-9 worker to a different branch or workplace without permission. The third is hiring a foreign student and allowing them to work beyond the approved working hours, industry, or workplace scope.
Please remember that having a lawful immigration status and being legally allowed to work at your business are two completely different matters.
💡 Financial Risks Prevented Through Compliance
If you do not go through the proper verification and approval procedures, the costs incurred may be calculated based on the number of employees hired, so it is very important to check carefully from the start of recruitment.
For a first violation, a fine of about KRW 4 million per person may be imposed; for a second violation, about KRW 8 million per person; and for a third violation, about KRW 20 million per person.
For example, if you are employing three undocumented workers and are caught for the first time, you could be charged about KRW 12 million at once; if caught a second time, about KRW 24 million could be imposed all at once. As the number of employees increases, the financial burden on the employer can also grow significantly.
⚖️ Criminal Penalties: Up to 3 Years in Prison or a Fine
Under Article 94 of the Immigration Control Act, an employer who illegally hires workers may be sentenced to up to 3 years in prison or fined, and the fine may range from KRW 20 million to KRW 30 million depending on the case. In particular, there have been cases where actual prison sentences were handed down when multiple people were systematically hired illegally or illegal employment was arranged.
In addition to criminal penalties, a notice-based disposition or summary fine procedure may also proceed. The actual level of punishment is determined comprehensively by considering factors such as the employer’s intent, whether efforts were made to verify the status of stay and work eligibility, the duration of the violation and the number of workers hired, and how faithfully the employer cooperated during the investigation.
🚫 The Biggest Practical Blow: A 3-Year Restriction on Hiring
If you are penalized for illegal hiring, the issuance of foreign worker employment permits may be restricted for the next 3 years.
If you started hiring foreign workers to address labor shortages but are then barred from employing foreign workers such as E-9 workers for 3 years due to illegal hiring, your business operations could suffer direct damage. Since this can lead to greater long-term losses than the immediate staffing issue, extra caution is necessary.
✔️ Preventive Measures You Can Start Right Now
Before hiring a foreign national, you should personally inspect the original foreign registration card and check again through the Immigration Contact Center at 1345 or HiKorea whether employment is permitted under that status of stay.
It is also important to manage the workplace, duties, and working hours listed in the employment contract so that they match the actual working conditions, as well as the contents stated on the part-time work permit. In addition, it is a good idea to use a calendar or separate management sheet so you can regularly check the expiration date of the foreign worker’s stay and whether an extension is needed.
If the status of stay or the permitted scope of work is unclear, do not have them start working first. Instead, consult the Employment Center, the Immigration Contact Center, or a relevant administrative expert before proceeding with hiring.
Legal employment of foreign workers is not difficult if you simply follow the required verification steps properly. Trying to save a little effort and ending up having to bear fines or penalties worth tens of millions of won, along with long-term restrictions on hiring foreign workers, can be too great a price for an employer to pay.
📞 Hire Safely from the Start with Vijob!
At Vijob, we help you hire foreign workers without unnecessary risk, from checking visa criteria for foreign workers to registering job postings. If you need foreign talent, register your job posting with Vijob today.
✔ Register foreign hiring job postings
✔ Visa criteria guidance by status of stay
✔ Networking with foreign talent by country
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Phone inquiries: 070-7124-3581
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