The Need For Consent To Change Employment Terms

For many years, Korean employers have had the option to impose changes to work rules without obtaining their workers' consent, where those changes are in line with social norms. In a recent decision, the Supreme Court of the Republic of Korea abolished this exception and formulated a new test by reference to the concept of bad faith.

Supreme Court recasts workforce consent exception

Under Korean law, when an employer changes its policies and regulations that establish collective terms and conditions of employment (referred to as 'rules of employment' or simply 'work rules'):

• it must consult with a majority union or, if there is no majority union, with the workforce generally;