Facts & Stats
- Capital city
North Korean won (₩, KPW)
- Population size
- Ease of doing business
- Cost of living index
- Payroll frequency
- VAT - standard rate
- GDP - real growth rate
North Korea, colloquially known as the Hermit Kingdom is a socialist republic bordering China & South Korea. North Korea struggles with its troubled past & is led by an authoritarian regime that’s closed up the country from the rest of the world.
The international community has also imposed crippling sanctions on the North Korean economy which has shrunk steadily for decades now.
Among others, North Korea is infamous for its government-sponsored army of hackers that have stolen billions in assets such as crypto in coordinated attacks on banks, blockchain projects, and cryptocurrency exchanges.
The FBI even advises businesses to beware of hiring North Korean hackers masquerading as IT experts who can compromise their clients with ransomware, malware, etc. Obviously, its unlikely financial and economic sanctions are going to be lifted anytime soon until the state shows a commitment to curbing fraud & its terrier programs.
This guide looks forward to a future when that becomes a reality and is primarily informational for the moment.
Grow your team in North Korea with Remote
Note that we are busy building our own entity in North Korea to provide you with the best possible employment solutions for your employees, but our employer of record service is not yet live in this country.
To employ in North Korea, companies must own a local legal entity in the country or work with a global employment solution. Developing the processes required to manage payroll, benefits, taxes, and onboarding in countries like North Korea can get complicated fast, especially without localized expertise.
If you’re looking to start hiring in a country like this, partnering with a global employment solution like Remote makes it easy for your company to employ workers quickly, cost-effectively, and in full compliance with all local legislation.
In the countries where we do offer our EOR services, Remote takes on the responsibility and legal risks of international employment so you can focus on hiring great talent and growing your business.
Risks of misclassification
North Korea, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in North Korea may lead to fines and penalties for the offending company.
Employing in North Korea
Workers’ rights in North Korea are spelled out in several laws, such as:
The Socialist Labor Law of the Democratic People’s Republic of Korea (2015), and
The Socialist Constitution of the Democratic People's Republic of Korea
Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off.
Competitive benefits package in North Korea
At Remote, we’re obsessed with helping you craft the best possible employee experience for your team. We are leading the way in practicing “fair equity”, which means making sure employees everywhere have access to both the required and supplemental benefits they need to thrive (and that will allow you to attract the best local talent).
We are still busy building our own entity in North Korea, but our benefits packages for all countries are tailored to fulfill the local needs of your employees. Typically, our packages contain some or all of the following benefits:
Mental Health Support
Pension or 401(K)
Life and Disability Insurance
Types of Leave
The North Korean labor code provides that laborers, clerks, and members of cooperative farms are entitled to 14 days off per year. Employees also receive 7 - 21 days of supplementary leave depending on their tenure.