[2026-01-13]2026 Disability Pension Increase, Youth Employment, Hydrogen Cars: Latest Korean Policies

Starting in 2026, the disability pension will be raised to a maximum of KRW 439,700 per month, while the government is implementing various welfare and industrial policies such as youth employment support and expansion of hydrogen vehicles. The disability pension consists of a basic benefit and an additional benefit, with the basic benefit adjusted annually based on the national consumer price index. New ‘First Step Job Guarantee Centers’ and ‘University Job Plus Centers’ are being established to systematically identify and support unemployed youth, offering tailored employment services. Additionally, policies are being updated in areas such as hydrogen bus and car supply, prevention of restaurant no-show damages, and expansion of home care medical center pilot programs.

The Ministry of Health and Welfare has set the 2026 basic disability pension at KRW 349,700, an increase of KRW 7,190, with severely disabled recipients receiving up to KRW 439,700 per month from January 20. Eligibility thresholds are KRW 1.4 million for single households and KRW 2.24 million for couples, both increased from the previous year. For youth employment, the Ministry of Employment and Labor is recruiting universities to operate 10 new ‘First Step Job Guarantee Centers’ and 46 ‘University Job Plus Centers’ by 2026. Hydrogen vehicle supply will reach 7,820 units (1,800 buses, 6,000 passenger cars, 20 trucks/cleaners) with KRW 576.2 billion in funding, and hydrogen charging stations have reached 450 nationwide, with a goal of 660 by 2030.

A survey by the Ministry of SMEs and Startups found that 65% of restaurants experienced no-show damages in the past three years, with an average loss of KRW 443,000 per incident. The Fair Trade Commission has raised no-show penalty standards, and legal support for affected businesses has been expanded. The home care medical center pilot program currently involves 344 centers in 195 regions, with additional recruitment ongoing until January 28. Export/import companies can now apply for payment extensions and installment plans online via the UNI-PASS system, and 3,861 more companies have been added to the tax support list.

Small business owners with declining sales will have their VAT payment deadlines extended by two months in 2026, and simplified taxation will be expanded. In response to H5N1 avian influenza outbreaks, emergency quarantine measures have been strengthened. Volunteer fire brigades nationwide are conducting fire prevention activities for elderly living alone during winter. A pan-government task force has been established for rapid vaccine introduction during infectious disease outbreaks, and KRW 533.4 billion will be invested in the ‘Clean Workplace Support Project’ to prevent industrial accidents in small businesses. These policies focus on strengthening social safety nets, industrial innovation, and improving public welfare.


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