As an English (ESL) teacher in Korea, what do you do when your hagwon or school refuses to compensate you on pay day or the end of your term? Your best bet is to find out what is really going on with your school/recruiter prior to taking any action. Sadly, some less than ethical people and schools out there will try to stiff you come pay day. The good news is, you have rights in the Republic of Korea, even as a foreign teacher.
First off, don't panic or take the next flight to Osaka to sign up with the JET Program. Instead, immediately enter into a dialogue with your employer to determine the reason for the missed payment. Always approach the issue calmly and in an amicable manner, as this is your employer, and if you are in the wrong, you certainly don't want to go through the rest of the year with a sheepish grin on your face. In addition, your employer is someone with a great deal of influence over your future referrals and employment. Moreover, you may need to negotiate at some point, and people tend to find common ground with those that they feel an affinity for.
Confirm what the issue is. At public schools, sometimes its simply a matter of miscommunication (your salary was sent to your home bank instead of your Korean bank account). Are you being/were you terminated for cause? Talk to other teachers and find out what the deal/history of the school is. Every case is different, and and every instance will require a unique approach.
Determine the financial status of the school. Has there been high student turnover lately? Were other teachers recently let go? Has the Korean teaching staff quit? I s the school shutting down? The financial standing of the school, especially with private institutes or hagwons, can be an issue. Find out if its a legitimate one. If its true, you still may be entitled to a percentage of your pay for your past work. You may want to start negotiating for what you think is fair.
Before moving onto the next steps, I strongly urge each of you that are facing a problem with late pay from hagwons, or no salary at all, to resolve the matter informally in a manner that is acceptable to both sides. This can be done quickly, at low cost, and in a way that keeps both sides happy. Leaving it to more formal processes often end up being extremely time consuming, costly and leaving both parties unhappy.
Second, if your school or hagwon habitually pays you late and/or underpays you, you should consider leaving the school before the amount of unpaid salary builds up. Many schools will provide you a release letter, which allows you to get out of your contract and find another job. Again, this type of informal solution often works best if you can cut your losses early.
Third, talk to your original recruiter. If your recruiter is separate from the school or hawgwon where you are teaching English, and appears ethical/trustful, they can often be a good source of assistance. A recruiter knows that their business is only as good as their reputation, and will often take an extra step to help out someone they've recently placed. Lastly, you can seek redress with the Labor Union of Korea. I almost always recommend this only as a last-ditch approach, as it can be a resource- and time-intensive matter that keeps you unemployed while you hope a decision will be found in your favor. Furthermore, it can also get you "black-balled" from other potential employers. Still, it is an effective option if you have exhausted all other avenues of hope for being paid, or if the amount of your owed salary justifies the action.
Recently, my buddy got fired from his hagwon, with no warning, after 11 months on the job. Clearly, letting him go one month short of contract completion could be seen as a bad faith effort on the school to get out of paying him his owe severance and air fare to his home country. He followed each of the steps above, but the school not only refused to address the underlying issues, it refused to even enter into discussions with him. He was definitely in the right, and approached the Labor Union with his complaint. Fortunately, the Union resolved the issue in his favor. The point is, you should not be intimidated by your employer or the Korean dispute resolution process. The important thing for him was that he kept a paper trail for evidence, including emails seeking discussion with the hagwon, other teachers and the recruiter; bank receipts; class size documentation (no high student turnover, so the "financial problems" excuse was irrelevant); etc. The fact that he had followed the above steps closely and had always taken the high road worked well for him in the end.
I advise you to do the same.
Although you aren't an attorney licensed to practice in Korea, you should still understand a bit about your rights when working in Korea. I recommend you take a look at the English translation of Korea's Labor Standards Act. Its easy to read and can give you a better idea of what you are entitled to even before you sign your contract. Remember, you aren't Junior Attorney, so stick to friendly discussion before yanking out the Act--it'll keep your credibility high.
You can review the Korea Labor Standards Act here: Korea Labor Act.
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