Labor rules at workplaces with fewer than five employees

Some Labor Standards Act provisions differ at workplaces with four or fewer regular employees, while other duties still apply.

Checked 2026-09-23 · Estimates and reference information, not legal or tax advice.

The legal basis

The Labor Standards Act Enforcement Decree appendix identifies which provisions apply to workplaces with four or fewer regular employees. Count regular workers under the applicable method, not only the people present on a single day.

Rules that may not apply

The guide highlights statutory annual paid leave and certain overtime, night and holiday premium-pay provisions as rules that do not apply in the same way to this size of workplace. A contract or company policy may still promise better terms.

Rules that still apply

Written wage terms, wage payment, paid weekly rest where its conditions are met, dismissal notice in the circumstances covered by law, and statutory severance under its own act must be assessed separately. Do not assume a small workplace has no obligations.

An overtime example

At an ordinary hourly wage of KRW 10,000, ten extra hours are KRW 100,000 at the base rate; a covered 50% premium would add KRW 50,000. Check which rule applies and what the contract already pays.

Try the calculator

Sources

These Korean-language sources were checked on 2026-09-23. Laws and rates may have changed; consult the originals before an important decision.