04/10/2026 | Press release | Distributed by Public on 04/10/2026 04:37
Dentons Lee has published an article with The Legal 500 titled "Expanding Employer Liability in Korea: Indirect Employment and the Yellow Envelope Act."
The article examines the expanding scope of employer liability in Korea, focusing on indirect employment structures such as subcontracting, outsourcing, and dispatch arrangements. It highlights the increasing emphasis by courts and authorities on substance-based control over working conditions, rather than formal contractual relationships, when determining employer responsibility.
It further analyzes the implications of the proposed "Yellow Envelope Act," particularly in the context of collective labour relations, where the concept of employer may extend to entities that exercise substantial influence over working conditions, even without a direct employment relationship.
The article also outlines potential dispute scenarios involving contractor employees, and provides practical guidance on risk management, including subcontracting structures, governance frameworks, and labour relations strategies in complex and multinational business environments.
This contribution offers practical insights for companies navigating Korea's evolving labour law framework and managing risks associated with indirect employment and collective labour relations.
Read the full article at the link.
Dentons Lee provides comprehensive legal services across all areas of labour and employment law, supporting clients with strategic and practical solutions in complex workforce environments.
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