Moon Jae-in Administration’s Expansion of Unemployment Benefits for Foreigners is Being Abused… They Have Received 78.4 Billion KRW More Than They Paid
[GJC- Jenny Yoon] The pro-China policies of the Moon Jae-in administration are once again harming the people of South Korea. Unemployment benefits are a social safety net designed to protect Korean workers, yet the Moon administration expanded the system to include foreign workers. As a result, ethnic Koreans from China (Joseonjok) and Chinese nationals have been massively receiving unemployment benefits, creating a structure where they are draining South Korea’s tax money.
According to data submitted by Rep. Lee Ju-hwan of the People Power Party (PPP) from the Ministry of Employment and Labor, among 12,107 foreign unemployment benefit recipients in 2022, a staggering 77% were Joseonjok or Chinese nationals. Specifically, 7,637 recipients (63.1%) were Joseonjok, while 1,629 (13.4%) were Chinese, making up the overwhelming majority. Compared to 2018, when Joseonjok accounted for 55.0% of foreign unemployment benefit recipients, their share increased by 8.1 percentage points in just four years.
Even more shocking is that over the past five years (2018–2022), Joseonjok and Chinese nationals have received a total of 266 billion KRW in unemployment benefits—78.4 billion KRW more than the 187.6 billion KRW they contributed in employment insurance payments.
Joseonjok and Chinese Nationals Exploiting Unemployment Benefits
Joseonjok and Chinese nationals show significantly higher unemployment benefit receipt rates compared to other foreign workers. In 2022, among 95,105 Joseonjok workers enrolled in employment insurance, 8.0% received unemployment benefits, while the rate for Chinese nationals was 7.4%. This is nearly double the overall average (4.3%) and almost four times higher than the third-ranked group, Vietnamese workers (2.3%).
One major reason for the high rate of abuse among Joseonjok and Chinese nationals lies in the visa system. Joseonjok who acquire an F-4 (Overseas Korean) visa can stay in Korea indefinitely even while unemployed, with the ability to change workplaces freely. As a result, some Joseonjok workers exploit the system by paying employment insurance for a short period, then quitting their jobs and immediately applying for unemployment benefits, effectively siphoning taxpayer money.
In contrast, most foreign workers from other countries, excluding China, enter Korea on an E-9 (Non-Professional Employment) visa. These workers must secure employment within three months or face deportation. This means that unlike Joseonjok and Chinese nationals, they have no choice but to prioritize re-employment over claiming unemployment benefits.
The Consequences of Moon Jae-in’s Pro-China Policy
In 2018, the Moon Jae-in administration expanded foreign workers' eligibility for employment insurance, making it easier for them to receive unemployment benefits. As a result, the number of Joseonjok and Chinese nationals claiming these benefits surged, leading to an additional 78.4 billion KRW being paid out to foreigners.
The outcome of Moon's policies is clear: South Korean taxpayers' money is flowing into the hands of foreign workers—particularly Joseonjok and Chinese nationals—who are exploiting the unemployment benefit system to secure a stable livelihood in Korea.
Solutions
Restrict Unemployment Benefits for F-4 Visa Holders Limit eligibility for unemployment benefits for F-4 visa holders and strengthen the continuous employment requirement before benefits can be claimed. Conduct a Full-Scale Investigation and Enforce Strict Penalties Thoroughly investigate cases of unemployment benefit fraud by foreign workers and enforce full repayment and immediate deportation for those found guilty. Tighten Eligibility Criteria for Foreigners’ Unemployment Benefits Require foreign workers to have worked for a minimum of one year before becoming eligible for unemployment benefits. Implement a policy that denies visa extensions for those who fail to find new employment within a certain period.
South Korea’s unemployment benefit system exists to protect its own citizens. Foreigners—especially those from certain countries—should not be allowed to exploit the system and waste taxpayers’ hard-earned money. The current administration must take immediate action to correct the damage caused by the misguided policies of the Moon Jae-in administration.