Whether the representative who lost his/her power to pay his/her retirement allowance before 14 days elapse from the date on which the cause for the payment of retirement allowance, etc. occurred, is liable for such crime, in cases where the employer is a legal entity (negative)

Article 36 of the Labor Standards Act provides that an employer shall pay wages, compensations, and other money or valuables within 14 days from the time when the cause for the payment thereof occurred, thereby compelling the employer to liquidate legal relations early in order to ensure the stability of the livelihood of retired workers, etc., while delaying the period required for the liquidation thereof. Thus, a violation of Article 112 of the Labor Standards Act due to delayed payment of retirement allowances is established at the expiration of 14 days from the date when the cause for the payment thereof occurred. Therefore, if the employer is a juristic person, the representative who has the authority to pay retirement allowances, etc. at the expiration of the said 14 days is liable for the crime due to delayed payment, and the representative who lost his/her authority for payment due to retirement, etc. before the expiration of 14 days is not liable for such crime unless there are special circumstances.

Articles 36 and 112 of the Labor Standards Act

[Plaintiff-Appellant] Plaintiff 1 and 1 other (Law Firm Gyeong, Attorneys Park Jong-soo et al., Counsel for plaintiff-appellant)

Defendant

Prosecutor

Suwon District Court Decision 2002No800 delivered on August 27, 2002

The appeal is dismissed.

Article 36 of the Labor Standards Act provides that an employer shall pay wages, compensations, and other money or valuables within 14 days from the time when the cause for the payment thereof occurred, thereby compelling the employer to liquidate legal relations early in order to ensure the stability of the livelihood of retired workers, etc., while delaying the period required for the liquidation thereof. Thus, a violation of Article 112 of the Labor Standards Act due to delayed payment of retirement allowances is established at the expiration of 14 days from the date when the cause for the payment thereof occurred. Therefore, if the employer is a juristic person, the representative who has the authority to pay retirement allowances, etc. at the expiration of the said 14 days is liable for the crime due to delayed payment, and the representative who lost his/her right to pay due to such reasons as retirement before the expiration of 14 days is not liable for such crime unless there are special circumstances (see Supreme Court Decision 94Do1477, Nov. 10, 1995).

However, according to the records, the defendant was appointed as the representative director of Seongdong Construction Co., Ltd. on May 24, 199, and was dismissed from office on October 4 of the same year. In the case of retirement workers under paragraphs (1) through (17) of the attached Table of Crimes List of the original judgment, each of the retirement days, which is the date when the reason for payment occurred, can be recognized as the fact that the defendant had already been dismissed from office of the above representative director at the time of October 15, 1999 when 14 days have passed from September 30, 1999. Accordingly, as to this part of the facts charged, there is no evidence to prove that the defendant is liable for the delayed payment of wages, etc., and otherwise, there is no evidence to prove that the defendant is liable for the delayed payment of wages for the part of the above facts charged.

Under the same purport, the court below is just in finding innocence against this part of the facts charged, and there is no error in the misapprehension of legal principles as to the Labor Standards Act due to a violation of the rules of evidence.

Therefore, the appeal is dismissed. It is so decided as per Disposition by the assent of all participating Justices on the bench.

Justices Song Jin-hun (Presiding Justice)