Thousands of S. Korean workers go on unpaid leave as Seoul, Washington fail to agree on military costs

Seoul on Tuesday criticized the US military’s decision to place thousands of South Korean workers on unpaid leave this week, after the two allies failed to sign a new cost-sharing agreement. Washington and Seoul are embroiled in a dispute dating back almost two years, over how much each should pay to support the roughly 28,500 US troops stationed in South Korea.

With no new pact months after the last agreement expired at the end of 2019, about half of the nearly 9,000 South Koreans employed by the US military command will be placed on unpaid leave starting on Wednesday, Reuters said. US officials have said they will cover the payroll for more than 4,500 workers deemed essential.

South Korean negotiator Jeong Eun-bo said Seoul regrets the move and the US had not agreed to proposals that would have prevented the furloughs while a new so-called “Special Measures Agreement” is hammered out.

Washington had demanded up to $5 billion a year, more than five times the $870 million that Seoul agreed to pay last year under a one-year deal, though US officials said they have “compromised” on the numbers.