How severance pay works in Korea
If you worked for the same employer for at least one year and on average 15 hours or more per week, you are entitled to severance pay, whatever your nationality or contract type. The amount is 30 days of average wage for each year worked: average daily wage × 30 × days employed ÷ 365.
The average daily wage is your total pay for the last three months (plus a share of bonuses and annual leave pay) divided by the number of days in those months. Employers must pay within 14 days after you leave, unless you agree to a later date.
E-9 and H-2 workers
For workers under the Employment Permit System, part of the severance is saved through departure guarantee insurance (출국만기보험) and paid out after you leave Korea. If your legal severance is larger than the insurance payout, the employer must pay the difference. For help, call the Ministry of Employment and Labor at 1350 (multilingual).