Many people think that the recruitment process ends when you make a selection and your new employees start working. However, in many countries, there’s one additional check that employers can take advantage of to help them prevent serious hiring mistakes.

Probation periods in South Korea are designed to do just that and help employers assess the efficacy of their recruiting processes before they’re locked into employment relationships that will be detrimental in the long term. Here, we’re going to look at the rules guiding these periods, how they’re commonly used, and the benefits they can afford both employers and employees.

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Definition of a Probation Period in South Korea

The definition of a probationary period is different depending on where you go in the world. In South Korea, these periods are called suseup ginan and are typical in many types of businesses. They represent initial periods of time from when employees are hired until they have been adequately assessed.

The purpose of probation is to assess if workers have the ability to perform well at their jobs, pick up necessary technical skills, and fit in well with their teams. If they don’t, they can be dismissed at the end of this period or even during, but if they do, they’re accepted as full employees.

Probation periods don’t just work one way in South Korea. They also act times for new employees to make their own assessments about their fit into the company culture and their new roles. If workers find that there’s not a good match, or if their real working conditions are not as promised during recruitment, they may choose to resign during or at the end of their probation.

Lengths of Probationary Periods in South Korea

While probationary periods are not mandatory in South Korea, they are controlled by specific legislation to ensure fairness for employees and employers. Employers may set the lengths of their workers’ probation but it may not exceed three months in length. If extensions are made possible, the length of probation may still not exceed three months in total.

Legal Considerations of Probation Periods in South Korea

Employment in South Korea is regulated by the Labor Standards Act of 2012 (LSA) and other legislation which includes specific rules that define probation. While employers have a lot of flexibility in determining how to implement probationary periods, there are limits that serve to protect the rights of their employees.

Pay and Working Conditions 

The LSA explicitly states that employers may not maltreat probationary workers. They also cannot be made to perform domestic duties for the employer or other activities unrelated to their work. This prohibition protects workers from being used outside their capacity as employees. Employers are required to provide safe and healthy working environments for all workers regardless of probation.

However, the Minimum Wage Act allows workers to be paid less if they’re on probation. South Korean workers can be paid only 90% of the minimum wage during probation, though this requires special permission if workers are disabled. Paying probationary workers more than the minimum wage but less than their full salaries is not expressly prohibited.

Termination and Notice

South Korean employees must normally be provided with 30 days’ notice in cases of dismissal, except in cases of gross misconduct. However, this condition is waived during probationary periods. This means that neither employees nor employers are obligated to give notice of termination. However, terminations do need to be given officially in writing, whether the employee resigns or is dismissed. Employers still need to provide justification and prove poor performance for dismissals of probationary workers.

Workers on medical leave for the treatment of occupational disease or injury cannot be dismissed during their leave or within 30 days of returning to work. Female workers during maternity leave and for thirty days after returning.

Vacation / Holidays

South Koreans are only legally entitled to one public holiday each year which is Labor Day (May 1st). If this day falls within a worker’s probation, they are entitled to leave with pay. There are twelve other public holidays, but it is up to the discretion of employers whether to grant workers leave and pay on these days.

Korean workers are also entitled to at least 15 days of annual leave. New workers are only able to accrue one day per month of work until they’ve worked for a full year, at which time they receive their full 15-day entitlement. Probationary workers, then, are only entitled to one day of leave per month.

Benefits of Probation Periods in South Korea

While probation periods can be challenging times for both parties, they can also produce benefits for both employers and employees, including:

  • For Employees

They have the possibility to resign from their positions without providing notice.

They can test out their new positions and assess their fit before fully committing to them.

  • For Employers

They can terminate workers without having to provide notice or severance pay.

They can prevent hiring errors by assessing new employee fit.

They’re able to provide new employees with extra attention to motivate them to develop quickly.

Frequently Asked Questions

No, probation periods in South Korea are not mandated by law and are only necessary if employers decide to use them. The full details of their length and requirements must, however, appear in employees’ contracts to be valid.

No, they can dismiss workers during or at the end of their probation periods without providing them with the otherwise mandatory 30 days’ notice. Likewise, employees don’t need to provide notice when they resign, either.

No, the law is very clear on the absolute maximum length of probationary periods being three months. Employers are not barred from using extensions as long as the total probation length falls within this limit. For example, they can extend a six-week probation by another six weeks without exceeding three months.