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Employment Insurance in Korea : The First Ten Years
  • 책임자 Jaeho Keum
  • 소속기관한국노동연구원
  • 내부연구참여자Jiyeon Chang,Deok-Soon Hwang,Dong-Heon Kim,Jooseop Kim,Byung-Hee Lee,Kyu-Yong Lee,Seong-Jae Park,Kil-sang Yoo
  • 외부연구참여자
  • 발행기관 한국노동연구원
  • ISBN89-7356-583-4
  • 출판년도2006
  • 페이지309
  • 보고서유형 정책·연구자료
  • 연구유형 기타
  • 표준분류 노동 > 노동일반
  • 자료유형정책·연구자료
  • 공공누리유형
  • 주제어Employment Insurance System, EIS Organization and Delivery System, EIS Implementation and Evaluation, Employment Insurance Fund
  • 조회수

    조회수 반영까지 최대 10분 정도 소요될 수 있습니다.

     49
  • 다운로드

    다운로드 수 반영까지 최대 10분 정도 소요될 수 있습니다.

     2
  • It has been 10 years since the Employment Insurance System (EIS) was introduced in Korea on July 1, 1995. The EIS completed the nations social insurance scheme which consists of the national pension, health insurance, disability insurance as well as the EIS, laying the foundation of a nationwide social safety net. Korea’s EIS goes beyond the traditional unemployment insurance which mainly provides benefits when the insured becomes jobless. The EIS strongly leans toward an active labor market policy, one that attempts to prevent unemployment, promote hiring (especially among the employment-disadvantaged), and enhance productivity and employability of workers by encouraging vocational training. But the EIS actually had a rocky start. Its accomplishments were not readily visible, and the reserve fund continued to pile up, prompting some to call for a complete overhaul and others to demand lowering of the insurance premium. But the situation dramatically changed with the 1997 financial crisis. As it played a crucial role in dealing with, and eventually overcoming, the mass unemployment crisis, it enjoyed a highly positive reassessment (“What would we have done without the EIS?”) and quickly became an important part of the publics life. One of the keys to its renewed appreciation was its timely response to the economic crisis: within one year of the turmoil, the EIS expanded coverage from workplaces with 30 or more employees to those with 1 or more employees, essentially (and theoretically) including all workplaces. At the same time, it initiated a number of projects in response to surging unemployment, designed to protect the livelihood of the jobless and promote job security and vocational development. As the economy picked itself up faster than expected, and the unemployment crisis bottomed out, the EIS went into a period of self-adjustment to improve its quality and substance. Greater attention is being paid to increasing actual coverage, improving efficiency and effectiveness of support programs and designing programs to assist the marginalized and employment challenged. Today, the EIS is particularly called upon to create more jobs, as more emphasis is being placed on improving employment rate rather than simply pushing down unemployment. As dynamic as Korea’s economy and labor market were in the past decade, the EIS also remained highly active. Almost every year, either the Employment Insurance Act or its Enforcement Decree was revised, and the support programs were so frequently changed that many of its initial programs have been completely replaced. Despite the ongoing modification process, the EIS has largely been stabilized today after 10 years in existence, having carved out an important position as an integral part of the national economy. But there are still difficult issues that remain unresolved. Although its applicability was expanded to all workplaces and is now open to daily workers (including construction workers), the actual coverage still hovers around 50% of all wage earners. Its programs, especially those under the Employment Stability Program, are not producing noticeably benefits. As its reserve continues to grow, concerns are being raised on the appropriateness of the current level of premium. Other issues that demand greater attention include: the feasibility of making the involuntarily jobless eligible for benefits; inequity of the current concentration of Job Skill Development Program support to full time workers of large companies; upgrading basic infrastructure; and strengthening the link between the EIS and other social insurance programs. Certainly, the EIS still leaves much to be desired, and continued efforts need to be made for further improvement. But overall, there is no question that the system has made a significant contribution to building a social safety net and promoting the labor market in Korea. This book will take a look at the decade of the EIS, summarizing its accomplishments, evaluating their significance, and proposing future challenges that need to be addressed for the EIS to provide better-quality service to the people. In chapter 1, the purpose and concept of the EIS to understand its philosophic background will be discussed. Chapter 2 will then chronicle the progress from the time when the need for such system was first raised to when it was actually launched. It will also recount the issues surrounding the EIS at the time of its launch. Chapter 3 will describe the evolution in the EIS delivery system with a focus on the Employment Security Center. Chapter 4 will analyze the past ten years of each EIS program in greater depth. The regulatory changes, accomplishments and their impact will be assessed by topic, such as coverage and premium collection, Employment Stabilization Program, Job Skill Development Program, Unemployment Benefits Program and Maternity Protection Program. And last, Chapter 5 will take a general look at the financial situation of the EIS. It will pay particular attention to some of today’s pending issues such as the premium rate scheme and scope of EIS programs. It needs to be stated at the outset that the evolution, roles and contributions of the EIS in the past decade are too expansive and complex to be contained in one book. An effort has been made nonetheless, and this is the record of the endeavor to systematically chronicle the regulatory changes and accomplishments that transpired over the years. Discussion on the main development path of the system and its programs, their impact and future direction will help the readers get a better understanding of the past and present of the system. Hopefully, it will prove to be a useful resource for further development and studies into the EIS as well.

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