1. Overview of the Labor Relations Commission

The Labor Relations Commission (LRC) is a specialized administrative agency responsible for prompt, fair adjudication and adjustment of labor-related matters in accordance with the Labor Relations Commission Act.
The LRC consists of the Central Labor Relations Commission under the jurisdiction of the Minister of Employment and Labor, 13 regional labor relations commissions, and special labor relations commissions (Seafarer Labor Relations Commission, Teacher Labor Relations Adjustment Committee, Civil Servant Labor Relations Adjustment Committee). The Central Labor Relations Commission and regional labor relations commissions are under the jurisdiction of the Minister of Employment and Labor. Regional labor relations commissions are responsible for incidents occurring in their respective jurisdictions. The Central Labor Relations Commission is responsible for ① reviewing appeals against decisions of regional labor relations commissions and special labor relations commissions, ② mediating labor disputes over which two or more regional labor relations commissions have jurisdiction, and ③ cases which fall under its jurisdiction in accordance with any other Act (Article 3).
There are two main characteristics of the LRC. First, the adjudication is conducted by “public interest members” who represent workers, employers, and the public interest. Public interest members mainly include professors, legal professionals, and former high-ranking civil servants. Secondly, despite being an administrative agency, the LRC has the authority to adjudicate on the legality of actions and issue corrective orders for restoration to the original state against those found to have acted illegally.

2. Dispute resolution Related to workplace sexual harassment by the Labor Relations Commission

The LRC can also be utilized in sexual harassment-related dispute settlements in the following cases: where 1) a person accused of engaging in sexual harassment in the workplace has been disciplined, such as through dismissal, on the grounds of committing sexual harassment, or 2) where an alleged victim of workplace sexual harassment has been disciplined, such as dismissal, for falsely stating or exaggerating to the outside the events leading to accusations of sexual harassment, causing damage to the reputation of the workplace. In such cases, the procedures for remedying unjust dismissal (discipline) are conducted in accordance with the Labor Standards Act and other relevant laws.
On May 18, 2021, the Equal Employment Act came to include provisions that prohibit employers from violating the gender discrimination prohibitions stipulated by this law, and require employers to take actions as specified therein in cases where employees experience sexual harassment in the workplace, including in relation to (alleged) victims and reporters of workplace sexual harassment, and workers who suffer from sexual advances by customers or clients. The amended provisions also establish dispute settlements provisions (Articles 26 to 29-7) by the Labor Relations Commission and the Minister of Employment and Labor for cases of discriminatory treatment. Furthermore, the scope of application of Article 30 (Burden of Proof) was expanded to include matters related to discriminatory treatment under this law. These amended provisions have been in effect since May 19, 2022.

(1) Actions to be handled in relation to claims of sexual harassment (Discriminatory Treatment)
The Equal Employment Act stipulates that the following actions by employers shall be regarded as "discriminatory treatment" (Article 1, main text).
1) Acts violating any provision of Articles 7 through 11 (hereinafter referred to as "discriminatory treatment" Article 7 (Recruitment and Hiring), Article 9 (Non-Monetary Benefits), Article 10 (Education, Assignment, and Promotion), and Article 11 (Prohibition of Discrimination Based on Gender) prohibit discrimination between men and women. Article 8 (Wages) requires equal payment for equal work of equal value within the same business. According to Article 11, paragraph 2, it is prohibited to terminate an employment contract based on marriage, pregnancy, or childbirth of a female worker.
) (clause 1)
2) Failure to take appropriate measures pursuant to Article 14, paragraph 4 Article 14 (Measures in Case of Sexual Harassment in the Workplace), paragraph 4: When it is confirmed that sexual harassment has occurred in the workplace according to an investigation as stated in paragraph 2, the employer must take appropriate measures, such as changing the place of work, transferring to another position, or granting paid leave, at the request of the victim employee.
or Article 14-2, paragraph 1 Article 14-2 (Preventing Sexual Harassment by Customers or Other Related Persons), paragraph 1: If a customer or any person closely related to the job causes a female worker to feel sexual humiliation or disgust through sexual advances or other sexual behaviors during the performance of duties, the employer must take appropriate measures, such as changing the place of work, transferring to another position, or granting paid leave, at the request of the employee for resolving the resulting grievance.
: Failure to take appropriate corrective measures in response to requests from victims of sexual harassment and sexual advances by customers or other persons related to the business (clause 2).
① When it is confirmed that workplace sexual harassment has occurred in violation of Article 14, Paragraph 4, and despite the request made by the affected worker, the employer fails to take appropriate measures such as changing the work location, reassignment, or granting paid leave.
② When it is confirmed that the employer, in violation of Article 14-2, Paragraph 1, fails to take appropriate measures such as changing the work location, reassignment, or issuing orders for paid leave, despite the worker's request for relief from the sexual humiliation or disgust experienced by the worker as a result of sexually suggestive behavior by individuals closely involved in business activities, such as customers.
3) Unfavorable treatment in violation of Article 14, paragraph 6 Article 14 (Measures in Case of Sexual Harassment in the Workplace), paragraph 6: The employer must not impose any unfavorable measures on employees who report the occurrence of sexual harassment or on employees who suffered from it, such as dismissal, removal from office, demotion, promotion restriction, denial of job assignments, or other unfair personnel measures; discriminatory payment of wages, bonuses, or other benefits based on performance evaluation or peer evaluation; restriction of opportunities for occupational skill development and improvement; or acts of psychological or physical harm, such as group bullying, assault, or verbal abuse, or neglecting the occurrence of such acts, against the employees who reported or suffered from sexual harassment or other unfavorable measures that are against the intentions of the employees.
or dismissal or other disadvantageous measures in violation of Article 14-2, paragraph 2 Article 14-2 (Prevention of Sexual Harassment by Customers or Other Related Persons), paragraph 2: The employer must not dismiss or take any other unfavorable measures against an employee based on the employee's claim of damages under paragraph 1 or the employee's refusal to comply with sexual demands from customers or others.
: Disadvantages given to the victims of sexual harassment and sexual advances by customers or other persons related to the business (Article 3).
① When the employer, in violation of Article 14, Paragraph 6, subjects a worker who reported the occurrence of sexual harassment, a worker who suffered from it, or a worker claiming to have been victimized to unfavorable treatment.
② When the employer, in violation of Article 14-2, Paragraph 2, dismisses or takes other detrimental actions against a worker who felt sexual humiliation or disgust due to sexually suggestive behavior by individuals closely involved in business activities, such as customers, or who refused to comply with sexual demands from customers or others.

(2) Employee’s request for correction of discriminatory treatment and support from the LRC
1) Employee’s request for correction of discriminatory treatment
According to the Equal Employment Act, if a worker wishes to apply to the LRC for the correction of discriminatory treatment related to sexual harassment, such application must be made to the LRC having jurisdiction over the workplace and within 6 months from the date the discriminatory treatment was committed by the employer (or the final date of discrimination in case of “continuous discriminatory treatment” according to Article 3). In this case, the applicant must specify the details of the discriminatory treatment, etc. (Article 26, paragraph 2).
The procedures and methods for the request shall be separately prescribed and announced by the National Labor Relations Commission in accordance with Article 2, paragraph 1 of the Labor Relations Commission Act (Article 26, paragraph 3).

2) Support from the Labor Relations Commission
In cases related to the correction of discriminatory treatment, the LRC may appoint an attorney or a certified public labor attorney represent the rights of members of socially vulnerable groups (Article 6-2 of the Labor Relations Commission Act).
Those eligible to apply for a representative for rights relief shall be a person whose average monthly wage is less than the amount (KRW 3 million) specified by the Minister of Employment and Labor (Article 4 of the Enforcement Decree).

(3) Investigations and inquiries by the Labor Relations Commission
When the LRC receives a request for corrective action under Article 26, it must promptly conduct the necessary investigation and interviews with the relevant parties (paragraph 1).
According to Article 23 of the Labor Relations Commission Act, if necessary, the LRC may request the attendance, reporting, testimony, or submission of necessary documents from workers, labor unions, employers, employer organizations, relevant parties, appointed members or investigators designated by the LRC chairman or chairman of the relevant subcommittee to investigate the business or workplace situation, documents, and other items (paragraph 1). The LRC must send a copy of the request for corrective action submitted by the applicant in an adjudication case or discriminatory treatment case to the other parties and require them to submit a response (Article 4). It must also promptly send a copy of the response submitted by the other parties to the applicant (paragraph 5).
(4) Inquiries by the LRC
When conducting an inquiry pursuant to Article 27, paragraph 1 of the Equal Employment Act, the LRC may summon witnesses to appear either upon request of the relevant parties or at its own discretion and may question them on relevant matters (Article 27, paragraph 2). When conducting an inquiry, the it must provide the relevant parties with sufficient opportunities to submit evidence and to cross-examine a witness (Article 27, paragraph 3).

(5) Burden of proof
With amendment of the Equal Employment Acton May 18, 2021, the application of Article 30 (Burden of Proof) has been expanded to 1) the disputes settled by the Labor Relations Commission (from Article 26 to Article 29), and 2) the disputes settled by the Minister of Employment and Labor (from Article 29-2 to Article 29-7) under this law. Therefore, employers bear the burden of proof in investigations and dispute settlements.

(6) Exclusion, challenge, and refrainment of parties
According to Article 21 of the Labor Relations Commission Act, the chairperson of the Labor Relations Commission shall inform the involved parties of their right to request exclusion etc. under paragraph 2 and paragraph 3, immediately upon filing of the case (paragraph 5).

1) Exclusion of committee members
If a reason described in paragraph (1) applies, the relevant LRC member shall be excluded from performing their duties related to the relevant case (paragraph 1). In such cases, the chairperson shall make a decision to exclude the member by virtue of his/her authority or at the request of the parties (paragraph 2).
① Where the member or his/her spouse or ex-spouse is a party to the case or holds rights or liabilities jointly with a party to the case.
② Where a member is a current or former relative of any party to the relevant case.
③ Where a member has made a statement or given an expert opinion with regard to the relevant case.
④ Where a member is or was involved in any affairs as an agent of any party.
⑤ Where a corporation, organization, or law office to which a member belongs was involved in the relevant case as an agent of any party.
⑥ Where a member or a corporation, organization, or law office to which a member belongs took part in a disposition or omission which has caused the relevant case.

2) Challenge of committee members
Any party may challenge a member from whom impartiality and independence during deliberation, resolution, or conciliation are deemed difficult to expect, by sending a written statement of the reason(s) to the chairperson of the relevant Labor Relations Commission (Article 28, paragraph 3). The chairperson shall decide whether the request for exclusion under paragraph (3) is reasonable (Article 28, paragraph 4).

3) Refrainment of committee members
If any of the causes prescribed in paragraph (1) or (3) apply to an LRC member, the relevant member shall voluntarily abstain from performing their duties in relation to the case. In this case, the member shall expound to the chairperson (Article 28, paragraph 6).

(7) Mediation and arbitration by the Labor Relations Commission
1) Commencement of mediation and arbitration
In accordance with Article 28 of the Equal Employment Act, the LRC can initiate mediation procedures upon request of either or both parties during the hearing process under Article 27 (paragraph 1). The request for mediation must be made within 14 days from the date the request for corrective action was filed under Article 26. However, if the LRC recognizes that there was a justifiable reason for not being able to file the request within that period, the request may still be made after 14 days (paragraph 2). Mediation procedures can also be initiated by the Labor Relations Commission.
The Labor Relations Commission may engage in arbitration if the interested parties have agreed to follow an arbitration award by the LRC in advance, and filed for arbitration (paragraph 2). An application for arbitration must be made within 14 days from the date of filing a request for corrective action (Paragraph 2).

2) Methods of medication and arbitration
The LRC must thoroughly consider the opinions of the parties involved when conducting mediation or arbitration (paragraph 3). Unless there are special reasons to do otherwise, it must present a mediation proposal or make an arbitration decision within 60 days from the date the mediation process was initiated or the request for arbitration was received (paragraph 4).
If both parties accept the mediation proposal, the LRC must prepare a mediation report (paragraph 4). The mediation report must be signed or sealed by all LRC personnel who were involved in the mediation. The same follows for arbitration decisions (paragraph 5).
Mediation decisions have the same legal effect as a judicial compromise in a civil lawsuit, pursuant to the Civil Procedure Act(paragraph 7).

(8) Dismissals and corrective orders from the Labor Relations Commission
1) Dismissals
According to Article 29 (Corrective Orders, etc.) of the Equal Employment Act, if the LRC determines that there is no discrimination in wages or other treatment after completing an investigation and hearing under Article 27, it must reject the application for correction (paragraph 1). The rejection decision must be made in writing, and the reasons for the rejection clearly stated and the relevant parties notified (paragraph 2).

2) Decision and details of corrective orders
According to Article 29 (Corrective Orders, etc.) of the Equal Employment Act, if the LRC determines that there has been discrimination in wages or other treatment after completing an investigation and hearing under Article 27, it must issue a corrective order to the employer concerned (paragraph 1). Any determination, corrective order, or decision of dismissal under paragraph (1) shall be made in writing and the respective interested parties notified together with the detailed reasons therefor. When issuing a corrective order in such cases, the details (compliance period, etc.) shall be specified (paragraph 2).
Article 29-2 of the Equal Employment Act stipulates that "the details of mediation, arbitration, or corrective orders under Article 28 or Article 29 may include measures to stop the discriminatory treatment, improve working conditions such as wages (including improve the rules of employment, collective agreements, etc.), or provide adequate compensation, or take other corrective actions (paragraph 1). The amount of “adequate compensation” from paragraph 1 shall be based on the amount of damages suffered by the employee due to discriminatory treatment. However, where the employer’s explicit intention to discriminate is recognized or if the discriminatory treatment, etc. is repeated, the Labor Relations Commission may issue an order to provide compensation not exceeding three times the amount of damage (paragraph 2).

(9) Appeals against decisions and orders of the Labor Relations Commission
Any party dissatisfied by a corrective order from or dismissal by a regional labor relations commission may file an appeal to the National Labor Relations Commission within 10 days of receiving the written corrective order or the written decision of dismissal (Article 29-3, paragraph 1). Any party dissatisfied by the decision on review by the National Labor Relations Commission may file an administrative lawsuit within 15 days from the date the written decision of dismissal was received (Article 29-3, paragraph 2). Where no request for review is filed within the period prescribed in paragraph 1 above or no administrative litigation is instituted within the period prescribed in paragraph 2 above, the relevant corrective order, decision of dismissal, or decision on review shall become final and conclusive (Article 29-3, paragraph 3).

(10) Finalization and implementation of decisions of and orders from the Labor Relations Commission
If an employer fails to comply with a corrective order that has been finalized in accordance with Article 29-3 (including cases where Article 29-5, paragraph 4 or Article 29-6, paragraph 3 apply), a fine for negligence of up to KRW 100 million may be imposed (Article 39, paragraph 1).
However, the Enforcement Decree to the Act stipulates the following penalty criteria: KRW 50 million won for the first violation of failing to comply with a corrective order involving compensation as its content, KRW 100 million for the second violation, and KRW 200 million won for the third and subsequent failures to comply with a corrective order involving measures such as ceasing discriminatory treatment or improving working conditions, including wages (KRW 500 million, KRW 1 billion, and KRW 2 billion, respectively).

3. Prohibition against adverse treatment of workers for filing remedial requests

An employer shall not dismiss or give any other unfavorable treatment to an employee for any of the following acts (Article 29-7): Filing a request for corrective action for discriminatory treatment under Article 26, attending and making statements at a Labor Relations Commission meeting under Article 27, filing a request for re-examination under Article 29-3, or filing an administrative lawsuit; Reporting an employer for not complying with the corrective order under Article 29-4, paragraph 2.
If an employer violates Article 29-7 and dismisses or takes other disadvantageous measures against a worker, the employer shall be subject to imprisonment for up to 3 years or a fine of up to KRW 30 million (Article 37, paragraph 2, item 9).
In addition to the penalties imposed on the individual who committed the violation under Article 37, the same penalty may also be imposed on the representative director of a corporation, the agent of a corporation or individual, the employer, or other employees who committed the violation in relation to the business of the corporation or individual. However, if the corporation or individual has exercised reasonable care and supervision to prevent such violation in relation to the business, the penalty may not be imposed (Article 38).