EOR in South Korea
Employer of Record in South Korea
- Enter the South Korean market without establishing a local business entity
- Handle payroll, social insurance, and tax compliance seamlessly
- Reduce legal exposure and eliminate permanent establishment concerns
- Deploy talent faster with compliant Korean employment agreements
- Access transparent pricing and cost-effective expansion solutions
Happy Customers Globally
Covered
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Currency
South Korean Won (KRW)
Capital
Seoul
Official Language
Korean
Payroll Cycle
Monthly
Recognized Globally: Ranked #1 for ‘Ease of Use’ & ‘Customer Support’
our advantage
Why Choose Asanify's EOR in South Korea
Asanify is ranked #1 across multiple G2 categories for Employer of Record services. Our EOR solution in South Korea enables companies to hire exceptional talent while ensuring full compliance with the Labor Standards Act, social insurance requirements, and complex Korean employment regulations. Let us manage the complexities while you focus on growth.
Rapid, Compliant Hiring
Onboard employees in South Korea within days using legally compliant employment contracts that meet all Labor Standards Act requirements. Eliminate the lengthy process of entity registration and start building your Korean team immediately.
Comprehensive Payroll Administration
Asanify manages monthly payroll processing in Korean Won, including accurate calculation of income tax, resident tax, and the four major social insurances: National Pension, National Health Insurance, Employment Insurance, and Workers' Compensation Insurance.
Full Regulatory Compliance
Navigate South Korea's complex employment regulations with confidence. We ensure compliance with working hour limits, severance pay requirements, mandatory leave policies, and all Ministry of Employment and Labor regulations.
Cost-Efficient Market Entry
Avoid the significant costs and time investment required to establish a Korean subsidiary. Asanify's transparent EOR pricing eliminates incorporation fees, legal expenses, office setup costs, and ongoing administrative burdens associated with maintaining a local entity.
How Asanify's Employer of Record Works in South Korea
Asanify acts as the legal employer of record for your South Korean employees, assuming all employment liabilities and compliance obligations while you retain full management control over work activities and performance.
- Legal Employer Status: We become the registered employer, handling all regulatory and legal employment responsibilities
- Social Insurance Management: Complete administration of National Pension, Health Insurance, Employment Insurance, and Workers’ Compensation
- Regulatory Updates: Continuous monitoring and adaptation to changes in Korean labor law and employment regulations
Trusted by top companies around the Globe
Employer of record
South Korean Employment Law Compliance
South Korea has stringent labor regulations under the Labor Standards Act and related legislation. Asanify ensures compliance with all requirements including the 52-hour workweek limit, mandatory severance pay, annual leave entitlements, and social insurance obligations. We handle all reporting to the Ministry of Employment and Labor and National Tax Service.
- Four major social insurances (National Pension, Health, Employment, Workers' Comp) managed
- Income tax and resident tax withholding and reporting handled
- Severance pay accrual and payment in compliance with Retirement Benefit Security Act
What our happy customers say
Asanify's, should be the number 1 choice for companies looking to pay their overseas employees and contractors. I have a team of 40 people in India and not for a single month have i experienced any delays in the payment process.
In my business, things happen fast, and requirement for new employees is sudden. In such a situation a trusted partner like Asanify comes in handy as I know I can quickly ramp with onboarding and employee formalities diligently taken care of.
As a global company, we go through M&As in countries where we do not have presence. In India, we quickly onboarded ~30 employees as part of a takeover. With Asanify's turnaround time the overall change was managed brilliantly.
Asanify’s expertise when it comes to Local Compliances is something I have benefitted extensively from. Whether its Employee-Contractor classification, or the local laws for employee benefits and working hours - I trust the guidance provided.
Apart from using EOR services, I find a lot of value in the fully automated Asanify HRMS. For me, it makes it absolutely comfortable that I can access all my HR inforation anytime, anywhere and on any platform - Slack, Whatsapp etc.
My employees are in India, while I am based in Dubai and the co. in the US. Managing time zones is a huge challenge for us. Working with global partners like Asanify ensures that all my payments, and query resolutions are done in time.
It is paramount that my employees are well taken care of. Asanify goes above and beyond In terms of employee benefits, salary structuring to make it more tax friendly and constant guidance. For over a year with Asanify’s EOR, I have had no reason to feel disappointed.
Employer of Record FAQs in South Korea
What is an Employer of Record in South Korea?
An Employer of Record (EOR) in South Korea is a third-party organization that serves as the legal employer for your workforce, managing all employment contracts, payroll, tax withholding, social insurance contributions, and compliance with Korean labor law. This enables your company to hire South Korean employees without establishing a local legal entity.
How quickly can I hire employees in South Korea with Asanify?
Asanify can onboard employees in South Korea within 3-5 business days. We handle employment contracts, registration with relevant authorities, and all compliance requirements, allowing you to build your team quickly without the months-long process of entity incorporation.
What are the four major social insurances in South Korea?
The four major social insurances are National Pension (retirement), National Health Insurance (medical coverage), Employment Insurance (unemployment protection), and Workers’ Compensation Insurance (workplace injury coverage). Asanify manages all contributions, registrations, and reporting for these mandatory programs.
Does using an EOR create permanent establishment risk in South Korea?
No, using Asanify’s EOR service minimizes permanent establishment risk. As the legal employer of record, Asanify assumes employment-related liabilities and compliance obligations, allowing your company to operate in South Korea without creating a taxable presence or triggering permanent establishment concerns.
How is severance pay calculated in South Korea?
Under the Retirement Benefit Security Act, employees who work for one year or more are entitled to severance pay equal to at least one month’s average wage for each year of service. Asanify accrues this liability monthly and ensures proper payment upon termination in full compliance with Korean law.
What are the working hour regulations in South Korea?
South Korea enforces a maximum 52-hour workweek (40 regular hours plus 12 overtime hours). Asanify ensures compliance with these limits, manages overtime calculations, and handles premium pay for overtime, night work, and holiday work as required by the Labor Standards Act.
How does payroll processing work in South Korea?
Asanify processes monthly payroll in Korean Won, calculating gross-to-net pay including income tax, resident tax, and all four social insurance deductions. We ensure timely salary payments and handle all required tax and insurance reporting to Korean authorities.
What leave entitlements are mandatory in South Korea?
Korean employees are entitled to 15 days of paid annual leave after one year of service (increasing with tenure), paid public holidays, maternity leave (90 days), paternity leave (10 days), and sick leave. Asanify manages all leave accruals, tracking, and payments in compliance with Labor Standards Act requirements.
Can I terminate employees in South Korea through an EOR?
Yes, Asanify manages termination processes in accordance with Korean labor law, including just cause requirements, advance notice periods (30 days minimum), severance pay calculations, and proper documentation. We ensure all procedures comply with Labor Standards Act provisions to minimize legal risks.