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Population
South Korea has a population of approximately 51.8 million people (as of 2023). The population is ethnically homogenous, with nearly all residents being Korean. A large majority of the population lives in urban areas. South Korea is one of the most densely populated countries in the world, with the capital, Seoul, being one of the largest metropolitan areas globally.
Capital
The capital of South Korea is Seoul, one of the largest and most modern cities in the world. Seoul is the political, economic, and cultural center of the country, known for its skyscrapers, tech companies, historical sites, and vibrant culture.
Economic Strength
South Korea is the world’s 12th largest economy, known for its strong export-driven economy. Key industries include electronics, automotive manufacturing, shipbuilding, chemicals, and steel production. Major companies like Samsung, Hyundai, and LG play a crucial role in the South Korean economy. The country is a leader in technology, especially in electronics, IT, and mobile technology. Over the past few decades, South Korea has transformed from an agriculture-based economy to a modern industrial powerhouse.
Culture
Korean culture is deeply influenced by traditional values, particularly Confucianism, which impacts social behavior and interpersonal relationships. At the same time, South Korea is a global center for modern culture, notably through the global spread of K-pop, K-dramas, and films. Important traditional festivals include Seollal (Lunar New Year) and Chuseok (Harvest Festival). South Korea places a high value on education, with a highly competitive education system.
Currency
The official currency of South Korea is the South Korean Won (KRW).
Health Insurance and Social Security System
South Korea has a comprehensive national health insurance system that provides basic medical coverage to all residents. Both employees and employers contribute to health insurance, with each contributing 3.43% of the salary. In addition, there is a pension system and unemployment insurance, funded by contributions from both employers and employees.
Employer Costs
Employers in South Korea must contribute to various funds, including health insurance, pension plans, unemployment insurance, and accident insurance. In total, employers pay around 8% to 10% of an employee’s salary in social security contributions, depending on the industry and specific insurance requirements.
Salary and Bonuses
Average salaries in South Korea vary depending on the industry and position. The minimum wage is 9,620 KRW per hour (approximately 7.50 EUR, as of 2023). Many companies pay employees bonuses in addition to regular salaries, often at the end of the year or during major holidays such as Chuseok and Seollal. These bonuses are often an important part of an employee’s annual income.
Payroll
Employers are required to provide employees with a monthly payroll statement that details the base salary, overtime, bonuses, and all deductions, such as taxes and social security contributions. This is necessary for transparency and compliance with legal regulations.
Public Holidays
South Korea observes a number of public holidays, including:
- Seollal (Lunar New Year, 3 days)
- Independence Movement Day (March 1)
- Chuseok (Harvest Festival, 3 days)
- Liberation Day (August 15)
- Christmas (December 25)
There are additional national and regional holidays, and companies often provide additional paid leave on these days.
Working Hours
The standard workweek in South Korea is 40 hours, spread over 5 days. Overtime is common but must be compensated at a minimum of 150% of the regular wage. Since 2018, labor laws have been reformed to cap the maximum workweek at 52 hours, including overtime.
Vacation
Employees in South Korea are entitled to a minimum of 15 days of paid annual leave after one year of employment. The number of vacation days increases with longer tenure. In addition to this leave, employees are entitled to paid time off on public holidays.
Sick Leave
In the case of illness or injury, employees are entitled to sick leave, but there is no specific legal requirement for paid sick leave in South Korea. Sick pay is often determined by the employer. Employees can receive partial sick pay through national health insurance for longer illnesses.
Termination/Severance
Termination in South Korea is regulated by law, requiring a 30-day notice period. Employees who have worked for at least one year are entitled to severance pay, which is typically calculated as one month’s salary per year of service.