Business · Economy · 3 hrs ago
More than 1.5 million workers have pension gaps from unpaid company contributions
In South Korea, employers deduct workers’ share of National Pension contributions from their wages and are responsible for paying it, along with the employer’s share.
But more than 1.5 million people have had some work time excluded from their pension records because their employers did not pay the contributions.
They have an average of about seven months of unpaid contributions missing from their records.
People generally need 10 years of recognized contributions to receive a monthly old-age pension.
For about 134,600 people, counting the unpaid months would bring them to that minimum, and nearly 21,000 of them are at least 60.
Some people who could have qualified if those months counted have already taken a one-time refund instead of a monthly pension.
Officials are considering measures including widening the rules for publishing details of employers with large or repeated contribution debts, but they say recognizing unpaid periods could raise fairness and funding concerns.
More than 1.5 million National Pension 가입자 have lost some recognized contribution time because their employers failed to pay premiums deducted from their wages.
As of September 2026, 1,503,427 people had a record of missing contribution periods, averaging about seven months each.
For 134,616 people, counting the missing periods would bring their recognized contributions to the 10 years needed for an old-age pension.
The National Pension Service says it recognizes the harm to workers but cautions that crediting unpaid periods could affect pension finances and fairness to people who paid.
- Who
- More than 1.5 million National Pension 가입자 affected by employers’ unpaid contributions.
- What
- They may lose recognized contribution time despite premiums being deducted from their wages.
- When
- Data are as of September 2026.
- Where
- South Korea.
- Why
- Employers failed to pay pension contributions deducted from workers’ wages, and unpaid periods may not count fully toward pension eligibility.
Affected workers and Rep. So Byung-hoon
National Pension Service
Responsibility for unpaid premiums
Affected workers and Rep. So Byung-hoon
Workers should not lose pension time when employers fail to pay contributions deducted from wages.
National Pension Service
The service recognizes the need to help affected workers but says any remedy requires careful consideration.
Crediting unpaid periods
Affected workers and Rep. So Byung-hoon
The service should recognize workers’ contribution periods first and hold delinquent employers responsible.
National Pension Service
Crediting periods when premiums were not paid could create financial burdens and fairness concerns for people who paid.
It is unreasonable that workers who did nothing wrong should bear the risk of losing their old-age pension because their employer failed to pay contributions that the employer is legally required to pay.
We fully sympathize with the need to help workers who face disadvantages despite having contributions deducted from their wages because of their employer’s delinquency.
Among people who received a lump-sum refund, 2,823 could have reached 10 years of contributions if their employers’ unpaid periods had counted.
The pension service recorded 1,503,427 people with contribution periods not fully recognized because of employer non-payment.
Rep. So Byung-hoon called for measures to recognize workers’ contribution periods and hold delinquent employers responsible.
- Workers with affected contribution records
- 1,503,427
- Average missing period per person
- About 7 months
- Workers who could reach 10 years if unpaid periods counted
- 134,616
- Affected people aged 60 or older
- 20,982
- People with 119 recognized contribution months
- 56,883
Sources
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