2023-06-11 00:46:14
The Supreme Court reaffirmed that if a taxi driver only pays a monthly fee to the company and collects the excess income without reporting it, it does not have to be included in the average wage, which is the basis for calculating severance pay.
The first division of the Supreme Court overturned the lower court ruling that the plaintiffs partially prevailed in a lawsuit filed by taxi driver A once morest the company for severance pay and returned the case to the Suwon District Court.
Mr. A worked as a taxi driver from 1999 to 2015 at a company that implemented a flat-rate private payment system from 2004.
The flat-rate private payment system is a method in which the driver pays only the private payment, takes the excess transportation income himself, and the company pays a certain fixed salary such as basic salary and allowances.
The wage agreements signed between the company and the labor union in 2010 and 2015, respectively, stipulated that in this case, excess transportation income would not be included in the calculation of severance pay.
When Mr. A retired on December 31, 2015, he received 2.22 million won in severance pay, calculated from October 2011, the last interim settlement date.
Mr. A argued that since the company was able to practically manage excess transportation revenue by managing driving records and card payment details, it should be included in average wages.
The first and second trials considered Mr. A’s claim to be justified and ruled that additional severance pay of 2.48 million won and 4.46 million won were paid, respectively.
The Supreme Court said, “It seems that Mr. A attributed the excess transportation revenue to personal income without notifying the company.” I did.
The fact that most of the excess transportation revenue was settled in cash, and the fact that the amount of excess transportation revenue might not be accurately identified only with the driving record of Mr. A’s taxi was also the basis for the judgment.
Even in 2007, the Supreme Court ruled that “if it is not a part that the employer can manage or control, it must be excluded from the average wage calculation.”
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