Annual Leave Calculation for Foreign Workers in Korea: Entry Date vs Calendar Year Systems

Annual Leave Calculation for Foreign Workers in Korea

Annual leave (연차유급휴가) in Korea can be confusing due to different calculation methods. Here's what foreign workers need to know for 2026.

Basic Legal Minimum: Entry Date System

Under Korean Labor Standards Act Article 60, the statutory minimum works as follows:
- First year: 1 day per month of perfect attendance (maximum 11 days)
- After 1 year: 15 days annually
- Additional days: +1 day every 2 years (maximum 25 days)

Example: If you started July 1, 2024, you earn up to 11 days until June 30, 2025, then 15 days from July 1, 2025.

Important: Many foreign workers in international schools, foreign companies, or embassies work under different contractual terms that may provide more generous leave than the Korean legal minimum.

Calendar Year System Alternative

Many companies switch to January 1st-based allocation for administrative convenience. The key principle: you cannot receive less than the legal minimum.

When switching systems, companies must calculate proportional leave to ensure you're not disadvantaged. This calculation can be complex and varies by individual circumstances.

Unused Leave Compensation (미사용 연차수당)

For workplaces with 5+ employees, unused annual leave must be compensated at your ordinary wage rate. However, employers can avoid this obligation by following the "leave encouragement procedure" (written notice → designated usage period) under Labor Standards Act Article 61.

Simply declaring "unused leave expires" without this procedure is illegal.

Special Considerations for Foreign Workers

Practical Tips

  1. Check both your contract and company handbook for leave policies
  2. Understand whether your company uses entry date or calendar year calculation
  3. Track your leave usage throughout the year
  4. If disputes arise, document everything in writing

Remember that international organizations and foreign-invested companies often have their own leave policies that may differ significantly from standard Korean practices.

This article is for informational purposes only and does not constitute legal advice. For specific cases, consult a certified labor attorney (노무사) or lawyer.