Wage issues, high costs and runaways: Teething problems blight Filipino nanny pilot

Seoul's Filipino nanny program has operated for one month so far, but the pilot has been marred by disputes over low wages, curfews and unauthorized departures.

A Filipino caregiver holds a baby at a home in Seoul. [SEOUL METROPOLITAN GOVERNMENT]

Seoul's Filipino nanny program has operated for one month so far, but the pilot has been marred by disputes over low wages, curfews and unauthorized departures.

With the aim of addressing the country's caregiver shortage and the high cost of childcare, the Ministry of Employment and Labor in collaboration with the Seoul Metropolitan Government decided to establish the program. As of Sept. 30, 98 Filipino caregivers are working in 169 households throughout Seoul.

One-hundred Filipino caregivers arrived in Korea on Aug. 6 and underwent four weeks of specialized training. However, the program faced its first hurdle when the caregivers’ training allowances were delayed due to financial issues cited by the management companies responsible for their welfare.

On Sept. 15, two caregivers ran away from their accomodation without authorization and have yet to return. While the exact reasons for their departure remain unclear, it is said that dissatisfaction with working conditions may have contributed.

Initially, there was a 10 p.m. curfew at the workers' accommodation in a shared housing in Gangnam District, southern Seoul. After the nannies ran away, staff members began conducting nightly checks to ensure compliance.

However, following complaints from workers, the curfew was relaxed, reportedly being extended to midnight, with weekend overnight stays permitted for the first time.

Another source of tension in the program has been wages.

Filipino domestic caregivers arrive at Incheon International Airport on Aug. 7. [NEWS1]

Filipino caregivers in Korea are entitled to the same minimum wage as local workers, meaning households using the service must pay around 2.38 million won ($1,768) per month. This amount, which is nearly half the median household income for Koreans in their 30s, led some families to express concerns over the financial burden. Many of the households utilizing the service are located in Seoul’s affluent Gangnam, Seocho and Songpa districts, raising concerns that only wealthier families can afford it.

Seoul Mayor Oh Se-hoon said that Korea could follow the model of countries like Hong Kong and Singapore, where foreign caregivers are hired for lower wages, at around 1 million won per month. He suggested allowing foreign domestic workers to be hired under private contracts, which would make them exempt from certain labor laws.

The caregivers, however, argued that after paying for housing and living expenses, they have little money left. Comparatively, workers in other industries under Korea’s Employment Permit System, or the E-9 visa, are often paid more, leading to fears that workers may seek higher-paying jobs.

Oh's partner in the program, Labor Minister Kim Moon-soo pointed out that applying different minimum wage standards for foreign workers would violate international labor standards, such as the ILO Convention and Korea’s domestic labor laws.

He added that lowering wages would likely exacerbate the problem of workers seeking better-paying jobs.

In response to the wage-related issues, the Seoul city government and the Labor Ministry are considering changes to the payment structure, such as moving from a monthly payment system to a weekly payment system. They are also looking into extending the workers’ stay period from the current limit of seven months to a maximum of three years.

BY SEO JI-EUN [seo.jieun1@joongang.co.kr]