(1) An employer who has established a defined contribution plan shall contribute no less than an amount equivalent to 1/12 of the total annual wages of a participant in cash to the participant's account of the defined contribution plan.
(2) Apart from the amount contributed by the employer under paragraph (1), a participant may contribute an additional amount at his or her own expense to his or her account of the defined contribution plan.
(3) An employer shall regularly pay contributions as prescribed in paragraph (1) at least once every year to the accounts of participants of the defined contribution plan. In such cases, if the employer fails to pay contributions by the fixed date (where the extension of the due date is allowed by the rules for defined contribution plan, by the due date so extended), he or she shall be liable to pay interest for arrears at an interest rate prescribed by Presidential Decree within the limit of 40/100 per annum, taking into consideration the overdue interest rates applied by banks as defined in the Banking Act, economic environment, etc. for the number of days of delay from the following day to the date when the contribution is paid.
(4) If the payment of contributions is delayed by an employer due to a natural disaster or any other cause prescribed by Presidential Decree, paragraph (3) shall not apply to the period during which such cause exists.
(5) If an employer fails to pay a contribution for a participant of a defined contribution plan when any cause prescribed by Presidential Decree, such as retirement of the participant, occurs, he or she shall pay the contribution prescribed in paragraph (1) and the interest for arrears prescribed in the latter part of paragraph (3) to the relevant participant's account of the defined contribution plan within 14 days from the date such cause occurs: Provided, That the due date may be extended by agreement between the parties concerned, in extraordinary circumstances.
(6) In lieu of the benefits to be received at the time of retirement, a participant may request the retirement pension trustee concerned to transfer his or her invested assets to his or her account of the individual retirement pension plan that he or she has established.
(7) Upon request by a participant under paragraph (6), the retirement pension trustee concerned shall transfer the invested assets to the participant's account of the individual retirement pension plan. In such cases, the participant's benefits accrued from the operation of the defined contribution plan shall be deemed paid.