이 누리집은 대한민국 공식 전자정부 누리집입니다.
Biz News Korea(Eng)
Korea’s retirement pensions reached $106 bn in 2015
- Collected
- 2016.12.21
- Distributed
- 2016.12.22
- Source
- Go Direct
According to data released by Statistics Korea, total corporate retirement pensions amounted to 125.7 trillion won as of the end of 2015, and about 5.45 million workers, or one out of two workers, would receive benefits from corporate retirement pensions. A cumulative contribution made by each employee was estimated at 23.06 million won on average.
The country’s retirement pension scheme was first introduced in 2005 under the Employee Retirement Benefit Security Act with the aim to enhance security of retirement benefits. Under the retirement benefit program, a company and an employee, each, make contribution to the employee’s pension fund that will be invested and paid in lump sum upon the employee’s retirement in place of a severance pay benefits.
In terms of contribution, defined-benefit (DB) plan, which promises a stable benefit, amounted to 85 trillion won, while defined-contribution (DC) plan, which workers are responsible for some of asset management, stood at 28 trillion won.
Out of 1.11 million businesses, 302,000 companies, or 27.2 percent, adopted the scheme for their employees last year. The data showed that about 78.3 percent of large corporations with 300 workers or more adopted the retirement pension program, whereas just 12 percent workers at workplaces with 5 or less employees were covered by the plan.
By Na Hyun-joon
[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]