Employee Pension Payment Standard
1. Pension payment standards for working years after application of Labor Standards Act are as follows:
(1)Two base points are given for every year of working years. For working years more than 15 years, only one base point is given for every one year, with the maximum number limited to 45 base points. Working year less than half a year will be calculated as half a year, while working year of half a year will be calculated as one year.
(2)For labor forced to retire due to mental insanity or physical inability, a payment 20% more than the one prescribed in aforementioned a rule will be granted if such mental insanity or physical inability is caused from duty performance.
(3)Standard for pension base points shall mean one month average salary at the time when retirement is approved.
2. Pension payment standards for working years before application of Labor Standards Act shall be calculated in accordance with applicable laws at that time. In the event that there are no applicable laws, calculation shall therefore be conducted in accordance with the Company’s rule or agreement between employee and the Company.
3. Starting from July 1, 2005 and in response to implementation of “Labor Pension Act,” pension payment standards are as follows:
(1)For labors selecting to continue to apply pension regulations prescribed in “Labor Standards Act,” pension payment will be delivered in accordance with rules prescribed in aforementioned “Pension payment standards for working years after application of Labor Standards Act.”
(2)For labors selecting to apply “Labor Pension Act” to their working years, “Personal Pension Designated Account System” will be adopted and methods for pension payment and calculation are as follows:
①Monthly Pension: With respect to principal and accrued yield from labor’s personal pension account, installment of pension payment is calculated in accordance with pension life chart as well as basis of average remaining life and interest rate.
②Lump-Sum Pension: One-time receiving of principal and accrued yield from labor’s personal pension account.
③Pension Insurance System: Amount received shall be in line with terms prescribed in insurance agreement.