🚨 Job-Seeking Benefits

Today Korean Social News for Beginners | October 3, 2025

0️⃣ 2026 Maximum Amount Increase and Expanded Childcare Leave Support

📌 Next Year's Job-Seeking Benefit Maximum Increases to 68,100 Won…Childcare Leave Support Expanded

💬 The Ministry of Employment and Labor announced changes to employment insurance rules. Starting in 2026, the maximum daily job-seeking benefit will increase from 66,000 won to 68,100 won. This change is needed because the 2026 minimum wage increase would make the minimum benefit amount higher than the maximum amount. The government is also expanding support for companies that hire and keep replacement workers for employees on childcare leave. These changes aim to help unemployed people maintain stable lives while looking for work and to support work-life balance.

💡 Summary

• Job-seeking benefits help unemployed workers by replacing part of their income while they look for new jobs.
• In 2026, the maximum daily benefit will increase to 68,100 won to fix problems caused by minimum wage increases.
• New support programs will help both workers and companies with childcare leave arrangements.

1️⃣ Definition

Job-seeking benefits are money payments from employment insurance that help workers who lost their jobs involuntarily while they search for new work. These benefits are commonly called "unemployment benefits." They help unemployed people pay their bills and focus on finding good jobs without immediate financial stress.

The benefit amount is based on 60% of your average salary before you lost your job. However, there are maximum and minimum limits set by law. You can receive benefits for 120 to 270 days, depending on your age and how long you paid into employment insurance. To keep receiving benefits, you must prove you are actively looking for work.

💡 Why is this important?

• It is a key social safety program that helps unemployed people maintain stable lives and find new jobs.
• It gives people time to find jobs that match their skills without financial panic.
• It helps reduce the social and economic shock of unemployment.
• It is a basic right for workers who pay employment insurance.

2️⃣ Current System and Changes

📕 Why the 2026 Maximum Amount is Increasing

• A structural problem occurred due to minimum wage increases. Here are the key points:

  • The 2026 minimum wage will increase to 10,030 won per hour, which automatically raises the minimum job-seeking benefit.
  • The minimum benefit is calculated as 80% of minimum wage, which equals 64,192 won per day.
  • The current maximum is 66,000 won, only 1,808 won higher than the new minimum.
  • This small difference means high-income and low-income workers would receive almost the same amount.
  • To fix this, the government will increase the maximum to 68,100 won, creating a 3,908 won difference.

• Understanding the maximum and minimum benefit system. Key information:

  • The minimum amount is linked to minimum wage to ensure basic living expenses are covered.
  • The maximum amount is set by the government considering insurance finances and fairness.
  • If 60% of your previous salary is below the minimum, you receive the minimum amount.
  • If 60% of your previous salary is above the maximum, you only receive the maximum amount.
  • This adjustment maintains fairness between low-income and high-income workers.

📕 Expanded Childcare Leave and Work Hour Reduction Support

• Support for replacement workers during childcare leave is strengthened. Key improvements:

  • Previously, companies only received support when hiring new replacement workers.
  • Now, companies will receive an additional 300,000 won per month for continuing to employ replacement workers.
  • This support can last up to one year, greatly reducing labor costs for companies.
  • This encourages companies to be more accepting of employees taking childcare leave.
  • Workers will feel less guilty about taking childcare leave knowing their companies receive support.

• Benefits for reduced work hours during childcare will also increase. Key changes:

  • Parents with children under 8 years old can reduce their work hours to focus on childcare.
  • The government pays benefits for the reduced hours, and the maximum amount will increase.
  • This helps workers balance childcare and work without financial burden.
  • This is especially helpful for dual-income families and single parents.
  • These changes support efforts to address Korea's low birth rate and promote work-life balance.

💡 Key Issues in Job-Seeking Benefits

1. Gap between maximum and minimum: Mismatch between minimum wage growth and maximum benefit adjustments
2. Financial sustainability: How benefit increases affect employment insurance finances
3. Fairness issues: Difficulty maintaining appropriate compensation levels across income levels
4. System effectiveness: Whether benefit levels are adequate compared to actual living costs
5. Moral hazard: Preventing people from delaying job searches to keep receiving benefits

3️⃣ Expected Effects and Future Challenges

✅ Strengthening Support for Unemployed People

• The benefit increase will reduce financial burden on unemployed workers. Key effects:

  • While 2,100 won per day seems small, it adds up to 567,000 won over the maximum 270-day period.
  • It prevents sudden drops in living standards after job loss, allowing stable job searches.
  • It prevents hasty job decisions caused by financial pressure, reducing job mismatches.
  • It gives people time to find quality jobs that match their careers and talents.
  • It also helps reduce psychological stress and depression caused by unemployment.

• The social safety net role is strengthened. Key significance:

  • Employment insurance is a core social insurance program that guarantees basic living standards.
  • It is a system where the government steps in to protect people during unexpected unemployment.
  • Proper job-seeking benefits help reduce social inequality and protect the middle class.
  • This becomes even more important during economic crises or corporate restructuring.
  • It creates an environment where workers can work with confidence.

✅ Promoting Work-Life Balance and Addressing Low Birth Rates

• Use of childcare leave is expected to increase. Key expected effects:

  • Expanded support for replacement workers makes it easier for companies to approve childcare leave.
  • Workers will feel less guilty about burdening colleagues with their work.
  • Childcare leave usage rates are expected to increase significantly in small and medium companies.
  • More men will take childcare leave, establishing more equal parenting culture.
  • It also prevents career interruptions due to childbirth and childcare.

• This can help address Korea's low birth rate problem. Key effects:

  • Reducing childcare burden is an important factor in increasing willingness to have children.
  • Real help comes when both financial support and job security are provided together.
  • Expanded work hour reduction benefits give dual-income couples time to participate in childcare.
  • Long-term, this will positively affect birth rate recovery and population structure stability.
  • However, this alone is not enough - comprehensive measures including housing and education cost relief are needed.

4️⃣ Related Terms

🔎 Employment Insurance

• Employment insurance is a social insurance system for unemployment and employment stability.
  • Employment insurance helps workers maintain living standards and find new jobs when unemployed. It also helps companies maintain employment and develop worker skills. It started in 1995. Employers and workers pay premiums, and benefits are paid when unemployment or other qualifying events occur.
  • Main programs include: First, unemployment benefits including job-seeking benefits and job promotion allowances. Second, employment stability programs that help maintain jobs and support career changes. Third, vocational skill development programs that provide training for employed and unemployed workers. Fourth, maternity protection programs including childcare leave benefits and maternity leave benefits.
  • All workplaces with one or more employees must participate. Monthly premiums are calculated as a percentage of wages. Workers and employers usually share costs equally, but unemployment benefits have specific sharing ratios set by law.

🔎 Unemployment Benefits

• Unemployment benefits are the core payment from employment insurance for unemployed workers.
  • Unemployment benefits is a general term for money that employed insurance members receive when they lose their jobs. It includes job-seeking benefits and job promotion allowances. When people say "unemployment benefits," they usually mean job-seeking benefits.
  • Job-seeking benefits are regular payments to help maintain living standards while looking for new work. Eligibility requirements: First, you must have worked at least 180 days in the 18 months before losing your job. Second, you must be willing and able to work but cannot find a job. Third, you must have lost your job involuntarily or have a valid reason for leaving. Fourth, you must prove you are actively looking for work.
  • Job promotion allowances include early reemployment allowances, vocational skill development allowances, long-distance job search subsidies, and relocation expenses. These are additional payments when benefit recipients quickly find new jobs or receive job training, encouraging active job searching.

🔎 Childcare Leave Benefits

• Childcare leave benefits are income replacement payments for workers on childcare leave.
  • Childcare leave benefits are employment insurance payments for workers taking childcare leave to care for children under 8 years old or in second grade or below. Both parents can use childcare leave for up to one year each.
  • Benefits are calculated as 80% of regular wages, but maximum and minimum limits apply. As of 2024, the maximum is 1.5 million won per month and the minimum is 700,000 won per month. For the first 3 months, 80% is paid; for the remaining period, 50% is paid immediately and the other 30% is paid as a lump sum after working 6 months after returning to work.
  • Requirements: First, you must have worked at least 180 days before starting childcare leave. Second, childcare leave must be at least 30 days. Third, you must not receive full pay from your employer during leave, or only receive partial wages. Parents can use childcare leave together or sequentially, and there are incentive payments for the second parent who uses it.

5️⃣ Frequently Asked Questions (FAQ)

Q: What conditions must I meet to receive job-seeking benefits?

A: You need employment insurance coverage, involuntary job loss, willingness to work, and active job searching.

• You must meet four key requirements to receive job-seeking benefits. First, you must have worked at least 180 days in the 18 months before losing your job while paying employment insurance. In simple terms, you need at least 6 months of work with employment insurance coverage. Second, you must have lost your job involuntarily. This includes company closure, recommendation to resign, or contract expiration. If you quit voluntarily, you need a valid legal reason. Third, you must be able and willing to work but unable to find employment. Fourth, you must actively search for work and regularly visit the employment center or receive online unemployment verification.
• Benefit duration and amount vary by age and insurance coverage period. If you are under 50 and paid insurance for less than 1 year, you receive 120 days of benefits. If you paid for more than 10 years, you receive 240 days. People over 50 or with disabilities can receive up to 270 days. The payment amount is 60% of your previous average wage, within the maximum and minimum limits.

Q: Can I receive job-seeking benefits if I quit voluntarily?

A: Yes, if you have a valid legal reason, but you must prove it.

• In principle, voluntary resignation does not qualify for benefits. However, if you have valid legal reasons, you may be eligible. Valid reasons include: First, wage non-payment continuing for 2 months or more, or unpaid wages exceeding 30% of monthly wages. Second, receiving less than 70% of wages for one month or more due to workplace closure or suspension. Third, actual working conditions significantly different from conditions presented when hired. Fourth, experiencing sexual harassment, sexual assault, or workplace bullying without proper action from the employer. Fifth, your own or family member's illness or injury making it difficult to continue work. Sixth, unavoidable circumstances related to pregnancy, childbirth, childcare, or family care.
• When you have valid reasons, consult with an employment center before resigning and prepare supporting documents. For wage non-payment, you need wage non-payment certificates. For workplace bullying, you need complaint forms or evidence. It may be difficult to gather documents after resigning, so prepare them while still employed.

Q: What is the difference between childcare leave benefits and reduced work hours benefits during childcare?

A: Childcare leave benefits are for completely stopping work, while work hour reduction benefits are for working fewer hours.

• Both programs support parents with children under 8 years old (elementary grade 2 or below), but they work differently. Childcare leave benefits are for workers who completely stop working for childcare and can last up to one year. The benefit is 80% of regular wages with maximum and minimum limits. For the first 3 months, 80% is paid; for the remaining period, 50% is paid immediately and the other 30% is paid after working 6 months after returning. On the other hand, reduced work hours benefits during childcare are for workers who reduce their hours to 15-35 hours per week instead of taking full leave. The government supports a percentage of regular wages for reduced hours, and this can be used for up to 2 years.
• Childcare leave and work hour reduction can be combined for up to 2 years total. For example, you can take 1 year of childcare leave followed by 1 year of reduced hours, or 6 months of reduced hours followed by 6 months of leave. Dual-income couples can each use these benefits separately. There is also a "father's childcare leave bonus" that provides extra benefits for the second parent who uses the program. Choose the option that best fits your situation and company circumstances.

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