Childcare leave allowance for civil servants to double for the first 3 months 


 

Childcare leave allowance paid to civil servants will double for the first three months of leave starting from next month. The Personnel Management Administration announced Tuesday that the monthly allowance paid to parents in childcare leave by employers will be raised from the current 40 percent of their basic wage to 80 percent during the first three months of leave.

 
The upper ceiling will also be raised from the current 1 million won (891 U.S. dollars) to 1.5 million won(1,336 dollars), and the lowest limit will also be raised from 500,000 won (445 dollars) to 700,000 won (623 dollars). From the fourth month on, 40 percent of basic wage will be paid for nine months.

 
The childcare leave allowance for civil servants was introduced in 2001 when 200,000 won (178 dollars) was paid which was raised to 500,000 won (445 dollars) in 2007. The allowance was raised to 40 percent of basic wage starting in 2011. However, the income substitution ratio of childcare leave allowance remains at just 29 percent, placing Korea at 19th among 23 OECD member ｃountries.

Article Source: http://english.donga.com/List/3/04/26/1014259/1
Image Source: http://ecrp.uiuc.edu/figures/v5n1-yang/thumbnails/1.jpg

VOCABULARY WORDS:
1. Allowance (n.) ~ the amount of something that is permitted, especially within a set of regulations or for a specified purpose
2. Ceiling (n.) ~  an upper limit, especially as set by regulation
3. Introduce (v.) ~ bring (something, especially a product, measure, or concept) into use or operation for the first time
4. Basic wage (n.) ~ a rate of pay for a standard work period exclusive of such additional payments as bonuses and overtime

QUESTIONS FOR DISCUSSION:
1. How much childcare allowance is being received by civil servants right now?
2. What are the possible advantages of this policy?
3. Do you think that the amount would be enough to encourage parents to have more children? Discuss your answer.