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  • Labor and Employment Issues in M&A, and New Company Establishment

Labor and Employment Issues in M&A, and New Company Establishment

Advice on labor issues in M&A. Comprehensive assistance with issues faced by newly established companies in Korea.

Introduction

We frequently advise foreign and domestic clients on the HR issues relating to their acquisitions or sales of companies and business units. We assist our clients from the due diligence stage, enabling our clients to properly understand the potential labor-related liabilities associated with the transaction, whether a share deal or asset deal (including “business transfer” rules, a court-crafted analog to European TUPE regulations). We help them navigate the various issues related to the Post-Merger Integration (PMI), including the preparation of deal documentation to effect the smooth transfer or continuation of employment relationships, often in close cooperation with our M&A team. And we continue to guide them past the closing stage, to help ensure continued compliance with all relevant labor laws. In addition, we frequently assist foreign companies to establish an initial presence in Korea. As part of a full-service law firm, we work closely with Yulchon’s Corporate & Finance Group to provide comprehensive advice on establishing an appropriate legal entity or office, creating all necessary employment-related documentation, and avoiding pitfalls common to newly established entities.

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