배움과 공유의 시간

3. Terminate medical device terminators

If a worker suffers from an illness or is injured in non-work, fails to report to work normally after the expiration of a legally defined medical device, or is unable to engage in the original work, or is also unable to engage in other work arranged by the company, the company may pay economic compensation plus one month’s severance notice allowance ("N+1") and terminate the labour contract.

Standards for the determination of incapacity of work
In the event of a situation in which an employee is unable to enter the office but is unable to engage in the work, the entity may consider whether to terminate the contract. In this case, the entity cannot determine whether the employee is able to engage in the work, and must be assessed by the Labor Competency Assessment Committee (article 35 on the slight issue of the thorough implementation of the Labor Law). There is a risk that a company considers it impossible for an employee to do his or her job only through appearances without being appraised by the Commission on Labor Ability Test, and that it is considered illegal to terminate a labor contract. In practice, cases that are even audited by the Labor Competency Assessment Committee are very rare, and most are conducted by giving and lifting economic compensation, depending on the inability to report to work after the medical plane is over.

4. Terminating contracts of persons who are not qualified for the job

If a worker is unable to perform his or her duties and is still judged unfit for the job after training or job adjustment, the company may pay economic compensation plus one month’s notice of dismissal ("N+1") and terminate the labor contract.

[Case] Lose due to default of court procedure
J is a technical company, A/S, and due to its negligence in A/S, the amount of returns and customer complaints have been continuously reported. Two months later, the company notified J of the cancellation of the labor contract for the reason of non-compliance. J has thus filed for arbitration, and the company has lost.
(Explain)
The company lost the case because it could not provide evidence that it had gone through such legal procedures, although dismissal was possible only after education or job adjustment, and the decision to fail the job was made again.

Criteria for judging job defects
The criteria for non-compliance of duties stipulate that" the duties agreed upon in the labor contract or the workload of the same job or of the same person cannot be achieved" (Article 26 of the Explanation of the Labor Law). However, the final judgment is delegated to the entity, which requires a fair and objective high performance system. In addition, labor contracts or employment rules should define the criteria for job deficiencies, such as two consecutive high scores of less than 60 points (100 points), etc.

Provide a second chance in either training or job coordination
In the event of dismissal, training or job adjustment must be carried out. Whether an entity conducts education or adjusts its duties, the entity can choose on its own. When selecting an education, it is common to take a few hours or so to satisfy the formal requirements and to get a confirmation of the training.
Since the selection of job adjustments is due to lack of job responsibilities, there is no need to obtain consent from employees, there is no need to change labor contracts, and the company can unilaterally adjust its duties (Article 1 of the Ministry of Labor’s Public Affairs’ Reply to the question of the occurrence of labor disputes between employees and businesses due to the change of position). If the assessment of non-compliance is still made after education or job adjustment, the entity may fire the employees.

30 days' notice or one month's wage payment
Since workers are free from negligence, they are required to pay 30 days' notice of dismissal, or an additional one-month wage. Almost all companies pay one-month wages and immediately lift labor contracts. Because if you enter a medical plane or get pregnant with a disease in that month, you will not be able to fire until the special situation

Procedure for dismissal of the reason for non-commissioned job
In the event of a labor dispute, users are liable to prove the legality of their dismissal, and it is very rare in practice for them to actually take such procedures and fire, except for those with clear sales positions, because there is a high possibility of losing if there is a clear set of assessment criteria, evidence of job defect and any defect in the implementation of the court procedure (usually in the form of a negotiation).
1 Unsustainable situation of the current task
Evidence is needed that the work agreed to in the labour contract has not been completed or that the work force of the same task has been significantly underperformed. This requires the completion of explicit and objective standards of high performance in labor contracts or employment rules.
(e.g. in case of a sales position, the sales amount of 100,000元 per month is not met, considered unfit for duty.
It is necessary to preserve evidence related to performance outcome, or job defect, such as work duties determined by the company or data related to the incomplete workload (employee verification required)
2 Progress in education or job adjustment for workers
Job deficiencies can be caused by problems in the work environment rather than by one's own ability.
The law stipulates that one more opportunity is given through education or job adjustments. Education
Education records, employee education registration tables, education reports, or post-education examination papers,
It is necessary to preserve evidence such as education's contents.
3 Judging that he is still unfit for the job after training or job adjustment
Demonstrate that they still fail to complete their duties or workload even after training or job adjustment.
relevant evidence is needed to do Usually, the outcome is proof.
4 Completion of labor contract cancellation notice and preservation of evidence to the person

Practical measures to dismiss employees who are not qualified for the job

[Question] Method of firing a person who is not in the position
One of the employees is not capable of doing his job, so we are going to give him/her economic compensation this time (no negligence by the person to be dismissed). What would be the problem if such incompetent staff were to be organized, the economic compensation plus one month’s worth of layoffs?

There is a clause in the Labor Contract Act that allows for the temporary dismissal of a worker without a job, but in reality, using this provision to fire him requires a very complicated process over a long period of time, as described above. In reality, it is difficult for small and medium-sized companies to take the procedures prescribed by the law, either on time or on evidence. Therefore, in this case, it is realistic to use the company as a bargaining chip with objective data related to poor performance and to take a "negotiate-off" approach under the N+1 condition, putting pressure on the company to exercise its job-coordinating card in the event of non-compliance.

5. Contract cancellation based on the reason for the significant change in objective circumstances


In the event that a significant change occurs in the objective circumstances that were based on the signing of the labor contract, the user may cancel the labor contract under the terms of N+1, and negotiations on the change of the labor contract cannot be made even though the labor-management agreement has been reached.

an interpretation of a significant change in the objective situation
Companies should secure evidence of changes in objective circumstances that would no longer be able to implement labor contracts such as corporate transfers, closures of stores and M&As. While there is nothing wrong with external objective factors, it is debatable whether they belong to a significant change in the objective situation when job cuts are needed in accordance with the closure of certain departments within the company, or reorganization of the company’s.
Legally and strictly, this can be seen as a subjective judgment of the company’s management class rather than a change in objective circumstances. However, in a situation where the business environment is radically changing, it cannot be tied to the legal profession alone. For example, because the cancellation of a business item may be recognized at the discretion of the judge if there is a reasonable and sufficient reason for the department to be shut down altogether, the company needs to try to adjust its duties and negotiate on the basis of Article 40(3) of the Labor Contract Act, and take action to terminate the contract if it fails to reach a settlement.

[The Labor Ministry's explanation of the "labor law"] ( 해석1994 [No. 289)]]
Article26 The "observation situation" of this clause shall be such that it is impossible to enforce the terms of all or part of a labor contract.
This refers to, for example, other circumstances that make it impossible, such as the transfer of an entity, the consolidation of an entity’s absorption, or the transfer of an entity’s assets.

[working-level measures]

1 Collection and presentation of data demonstrating significant changes in objective situations
As to what is a "significant change in the objective situation" that would make it impossible to implement labor contracts, labor laws do not have a clear interpretation. In the event of a labor action, the enterprise shall be liable for proof of "significant changes in the objective situation" and it is difficult to obtain the support of the judge for reasons that go beyond rationality or that are sub-approval.
2 Conduct negotiations with workers on the change of labor contract
The company needs a consultation process regarding the change of labor contracts with workers. The labor contract’s negotiation change notice [Sample10-12], which takes into account objective changes in the situation, is sent to the workers, and the workers are required to respond within a certain time frame, leaving evidence that the consultation was carried out. If such a court procedure is not followed properly and the contract is unilaterally terminated, it is considered an illegal dismissal and a double-time economic compensation payment risk occurs.

[Labor Contracts Act]
Article40 In the case below, the contract may be terminated after written notice 30 days in advance, or after payment of one month's wages.
(3) In case a significant change in the objective situation that was based on the signing of a labor contract prevents the user from fulfilling the original labor contract, it is not possible to reach an agreement on the change in the contents of the labor contract even though the employee has consulted;

A change in the organizational structure of the company is not recognized as a significant change in the objective situation
L joined a foreign-invested company and successfully served as the sales manager, but the deteriorating market conditions forced the company to restructure its operations, and the senior L was relieved of its labor contract in the process, citing "significant changes in the objective situation." L filed for labor arbitration, and the company lost.
(Explain)
Significant changes in objective circumstances generally refer to situations in which a company cannot continue to fulfil labor contracts, such as production conversion, distance transfer, technology modification, mergers, and spin-offs, and, in the case of changes in management strategy, is not part of this category because it is adjustable to other departments.

[Case of victory]
The relocation of the factory is recognized as a major change.
L is a front-line official in the factory production department and has signed a five-year labor contract. However, under the local government's natural heritage protection policy, the factory was forced to relocate from A to B, and only the sales department remained at A. The company had hoped to go to the city of B and continue its original work, but the two sides failed to reach an agreement even though negotiations were underway, as L did not back down from its position of staying at A. The entity decided to terminate the labor contract on one-sided basis, and L rejected it and applied for labor, but the company won the case.
(Explain)
The objective situation that was based on the conclusion of the labor contract, as it was inevitable to relocate according to the government's policy.
A major change in can be seen as a typical example of a failure to continue to fulfil a labor contract.
In addition, the company negotiated with Hong Gil-dong on the change of labor contract, but they agreed.
Because it could not be, it can be seen that the lifting of a company's labor contract is in accordance with the law.

the termination of negotiations on a labor contract

The lifting of the labor contract is the disposal of the rights that the worker holds.
Unless it violates the enforcement regulations, will it be entrusted to the free will of the workers? Therefore, the lifting of the negotiations is a workforce reduction method that minimizes legal risks. If compensation terms are agreed with employees, such as three women who are legally restricted from firing, labor contracts can be lifted by the lifting of negotiations at any time.

1. The concept of the lifting of negotiations

Advantages of Dismissing Negotiation
It is highly likely that the lifting of labor contracts in a one-way way will directly lead to labor lawsuits. For this reason, it is often more likely to take a negotiating approach than a high-risk court release.

The way the negotiations are negotiated is...
1 Reasons for court release are not necessary.
2 Minimize the risk of labor disputes,
3 It is advantageous in that it can avoid legal fees and compensation for the bankruptcy.

Meanwhile, it is possible to negotiate with employees for special reasons, who are restricted from dismissal, if agreed.

[Limited Disclaimer Staff]
Female employees in women's 3rd year, employees in medical equipment due to disease injury, employees with grade 1-6 disability rating due to industrial accidents, and employees working for 15 consecutive years
Employees who are under five years of legal retirement, etc.

Payment of Economic Compensation
In Korea, the company is required to pay severance pay in whatever form it retires, but in China, there is no obligation to pay compensation to management upon retirement due to employee reasons. In other words, the cancellation of the negotiations will determine whether the economic compensation is paid or not, depending on who first raised it. When a user raises an obligation to pay economic compensation, he or she does not have to give economic compensation if the worker first raises it.

[Example] Unnecessary economic compensation payment by the company's offer of early termination of negotiations

K signed a three-year labor contract with a parent company, but after a year and a half, he was preparing to resign due to poor health conditions due to work pressure. Then the company noticed the move by K to resign and raised the lifting of the labor contract, and K agreed to it and lifted the labor contract by a negotiation match. After the cancellation of the contract, K demanded an economic compensation ban, but insisted the company could not give economic compensation because it lifted the labor contract through a consensus of negotiations.
In support of K's claim, the Labor Arbitration Commission decided to pay two months' economic compensation.

(Explain)
Although the contract has been terminated by a negotiation match, since the company first raised it, economic compensation must be paid.

[Decommission of negotiations by management offer ]

If the management wants to terminate the contract halfway before the contract expires, the user must negotiate with the worker.
If there is no reason for the lifting of the law on the part of the workers, negotiations between labor and management need to be negotiated through a tug-of-war
In the course of negotiations, the proposal for the payment of economic compensation based on years of service is basically necessary, and how much more will be added to this will depend on individual lifting situations and labor-management negotiation skills.

As the labor contract law stipulates unilateral notice of dismissal and payment of economic compensation (two times the amount of economic compensation) instead of economic compensation, the amount of the negotiation is generally determined between the minimum compensation for resignation (the legal compensation) and the maximum compensation for resignation (the maximum amount that a worker can receive as much as the economic compensation x 2 times as much as the economic compensation).

In the course of negotiations, most workers take the one-month layoff allowance for granted, but there is no legal basis for this argument. (For cancellation of negotiations, no notice of dismissal was given a month ago.) However, in order to facilitate negotiations with workers, it is often necessary to add an additional one month or so in addition to legal economic compensation.

In the event of no violation of the company, it is often agreed upon on the terms of economic compensation, such as N (service training) +1 (for promoting negotiations).
However, in the case of a company that normally has many loopholes in its labor management, it is likely that workers will use them as bargaining chips in the negotiation process (payment of overtime fees, non-payment of labor contracts, lack of social insurance, etc.). If such unfair labor practices exist in practice, the layoff course may be increased as management will be placed at a disadvantage in negotiating the termination of the contract.

[working-level measures]

There is a formal method of signing [Sample10-8] and a simple process in the form of 2 [Confirmation] when negotiating a labor contract.

If a formal proposal is made, it is highly likely that the other party will take time off by questioning the outside world in doubt about the content.
If the company is small in size, does not raise the other party's alert, and wants to quickly terminate its employment, it may be a good idea to sign a brief confirmation that states, "Work is settled and we agree that there are no more disputes."

With such confirmation, it can basically prevent any act of reversing post-retirement agreements and requiring additional compensation.

[Confirmation]
I am relieved of my labor relations with the company because of the cause of the (negotiation) cancellation. I hereby voluntarily check the details below.
1. The two sides will terminate the labor relations by a negotiation match, and the employee labor contract will be terminated after signing this confirmation.
2. After verifying the employees, the company shall pay the employees one-off compensation_____元 (including wages in the month).
3. The labor conservancy etc. has already been settled, and no other dispute exists between the two parties.

[Transferred Agreement]
The biggest advantage of the lifting of negotiations on labor contracts is not only the termination of the contract, but also the package of all potential labor dispute issues during his tenure. In addition to the economic compensation, the negotiation can be concluded neatly by inserting a package of agreements into the turnover agreement, offering one-month wages for "promoting negotiations."

(Major clauses of the relocation agreement)
ᄋ In addition to the payment of ____ in a lump sum to Eulbang a year before the end of the month, the payment of economic compensation to Eulbang due to the termination of the labor contract, and all other expenses for the compensation of the surplus to be obtained by Eulbang, the item of which is the only and all compensation for the ultimate Eobang.
Eulbang shall voluntarily give up the compensation and compensation for the portion of economic compensation lower than the legal standard and other expenses.

ᄋ Confirmation of Eulbang: During his tenure, Eulbang received full pay (e.g., overtime expenses, etc.) and there are no labor disputes, such as pay remuneration, between the two parties.
ᄋ Acceptance of Eulbang: Eulbang shall not again file any demands, arbitration or litigation with the Affiliates. For whatever reason, no arbitration or litigation shall be filed against the party to question its economic and civil responsibilities, nor shall any other economic dispute exist between the two parties.

2. Dispute Case When Negotiation is Dismissed

Risk of payment under legal economic compensation
If an entity proposes to negotiate a settlement, it shall pay economic compensation (Article 46 of the Labor Agreement Act). However, if the negotiation is lifted at a lower rate than the legal economic compensation standard, a labor action can be filed against the shortfall later.
However, because law enforcement agencies respect "self-government" on both sides, there is no legal risk if an employee knows the legal economic compensation standard but agrees to a lower amount than the court, i.e. if his rights are disposed of.

In the statement of the transfer, one can add to the clause, "The worker is aware of the legal economic compensation he is required to obtain, and the other party (company) has fulfilled its obligation to declare."

[Case] Decree of invalidity on the payment of economic compensation under the court

J joined a clothing manufacturer of Quang Zhou in April 2004, and the last labor contract was from January 1, 2008 to December 31, 2008. In August 2008, the company offered to negotiate with J because it needed to cut its workforce due to poor management, and J agreed, and retired after signing a "Discussion of Labor Contract Negotiation Agreement" stipulating the receipt of three-month wages for economic compensation. After retirement, J filed a net claim knowing that under the Labor Contract Act, he could receive five months of economic compensation, but the company rejected the request on the grounds that the two sides had already signed an agreement in the Labor Contract Release Agreement.

(Explain)
The economic compensation money under the Labor Contract Abolition Consultation between labor and management is invalid because it violates the labor contract law's mandatory provisions. The company must give J five months' compensation. However, if the user satisfies the "notified obligation" at the conclusion of the agreement, the company does not need to pay additional economic compensation. This is because the worker is deemed to have given up his rights if the user has agreed to a lower economic compensation amount at the same time as notifying the legal economic compensation standard that the worker can receive in the agreement.

Precautions for Resolving Negotiation of Employees with Reason for dismissal
If there is a possibility of losing a case in the event of dismissal, because the company does not have sufficient evidence, the contract may be terminated by disciplinary action and pressuring the employee to resign for reasons. In this case, simply asking to resign can be strongly opposed, so it is also possible to conclude labor relations by signing the Transfer Agreement in a way that gives part of the legal economic compensation.
In this case, the Transfer Agreement effectively prevents legal risks if the workers themselves (excluding the management’s obligation to pay economic compensation) indicate that the company pays a certain amount of compensation for consideration.

[Example] Discipline and remove wrongful negotiation with the subject

S is an employee of a foreign-invested company, and one day he committed a breach of discipline and his boss was furious and could no longer work with him, and asked the Ministry of Personnel Management to dismiss him. The Ministry of Personnel Management confirmed that S's violation of discipline was not enough to punish and dispose of it, and after much consideration suggested to S that the negotiations be resolved. Originally, it was supposed to give 16,000 won in compensation, but it was wrong and thus could not give all of the compensation money, so it finally signed a consultation paper on the cancellation of the negotiations. "The two parties terminate the contract on a negotiation basis, and the entity also pays S half of the economic compensation."

(Explain)
The contents of the agreement were written against the enterprise. If S later requires additional shortfalls, the entity loses. A written agreement must be drawn up with the following raise of the lifting of the negotiations by the workers, so that they can escape from these legal risks. "As S raises the termination of labor contracts. It has reached a negotiation agreement with the entity, and the entity pays S some compensation" because the management does not have to pay economic compensation, and some compensation is paid to the entity as a consideration.