The defendant's appeal is dismissed.

1. The summary of the grounds for appeal is that the Defendant agreed to pay E and retirement allowances including monthly salary, and accordingly, paid retirement allowances to E, and thus, the lower court erred by misapprehending the legal doctrine that found the Defendant guilty of the facts charged in the instant case, even though the Defendant did not constitute a violation of the Labor Standards Act.

2. Article 8(1) of the former Guarantee of Workers' Retirement Benefits Act (amended by Act No. 10967, Jul. 25, 2011; hereinafter the same) provides that “Any employer who intends to establish a retirement allowance system shall establish a system that makes it possible for a retired employee to pay an average wage of not less than 30 days for one year of his/her continuous employment to his/her retired employee as a retirement allowance.” Paragraph (2) provides that “Notwithstanding the provisions of paragraph (1), an employer may, if requested by a worker, settle accounts of the retirement allowance for his/her continuous employment period before his/her retirement.”

However, “retirement allowance” under the above provision is, in essence, paid in lump sum when an employer has worked for not less than one year and retires from his/her office with basic financial resources, and thus, the right to claim payment of retirement allowance has the nature of post-paid wages. Thus, unless the right to claim payment of retirement allowance is formed with the interim settlement of accounts of retirement allowance, there is no room to occur while the labor contract remains in existence.

Therefore, if an employer and an employee agree to pay in advance a certain amount of money with a monthly or daily allowance paid by the employee, the agreement is a waiver of the employee's right to claim a retirement allowance incurred at the time of the final retirement unless it is recognized as the calculation of the retirement allowance under the main sentence of Article 8 (2) of the Act, and is a mandatory law.