Disability Employment Levy: Who Qualifies and What You Get

This is a mandatory requirement designed to ensure businesses contribute to the workforce by meeting specific hiring targets for people with disabilities.

👤Who it's for

This scheme applies specifically to companies operating in South Korea that have a workforce of 50 or more employees. If your business meets this size threshold, you are required to participate in the mandatory employment quota system managed by the Korea Employment Agency for the Disabled.

🎁What you get

The primary benefit of this system is ensuring that your company remains in full compliance with national mandatory employment quotas. By meeting these targets, your business satisfies its legal obligations regarding inclusive hiring practices and avoids the financial penalties associated with non-compliance.

💰What it costs you

While meeting the quota is a matter of compliance, failing to reach the required number of employees with disabilities results in a financial cost. If your company falls short of the mandatory target, you will be required to make a levy payment to cover the difference.

⚠️The catch to know

The most important thing to monitor is that the required quota percentage is not static. The percentage of employees with disabilities that a company must hire increases annually. Because these targets rise every year, a hiring strategy that works this year may not be sufficient to maintain compliance in the future.

📝How to apply

1. Calculate your total number of employees to determine if you meet the 50-employee threshold.
2. Audit your current staff to identify your current number of employees with disabilities.
3. Compare your current staffing levels against the specific quota required for your business size.
4. Monitor the annual updates to the quota percentage to prepare for future increases.
5. Consult the official portal or the Korea Employment Agency for the Disabled for specific compliance details.