National Pension Service

The National Pension Service (NPS) of Korea was created following the promulgation of the National Pension Act in December 1986, which established the legal basis for the pension system. In September 1987, the National Pension Corporation was formed to oversee the administration and operation of the system. At the time of its founding, the National Pension Service (NPS) operated with 656 employees across 6 divisions, 15 departments, and 14 regional branches. However, as the scope of the NPS expanded, including the introduction of special old-age pension payments and the extension of coverage to rural areas, the agency's workload grew substantially. In response, the organization underwent structural specialization and staff expansion.

The national pension system was first implemented in January 1988, covering workplaces with 10 or more full-time employees. This compulsory coverage was extended in January 1992 to include workplaces with five or more full-time employees. In January 1993, the payment of Special Old-age Pension benefits commenced.

The National Pension Research Institute was founded in April 1995 to conduct research related to the pension system. In July 1995, compulsory coverage was extended to farmers and fishermen in rural areas, followed by the extension to workplace-based foreigners in August 1995. By April 1999, compulsory coverage expanded to include the majority of the population in urban areas.

In November 1999, the National Pension Fund Management Center was launched to oversee fund management. Between July 2003 and 2006, compulsory coverage was gradually expanded to corporations and workplaces with fewer than five full-time employees. The organization was renamed the "National Pension Service" in July 2007.

In May 2009, the Retirement Planning Service was introduced, alongside the launch of the NPS International Service Center. January 2011 saw the establishment of the NPS International Center, integrating the International Cooperation Department and the International Service Center. Concurrently, the collection of contributions was consigned to the National Health Insurance Service.

In April 2011, a system for the assessment and registration of persons with disabilities was implemented in accordance with the Welfare of Disabled Persons Act, and support programs for the disabled commenced in October 2011. In December 2012, the scope of income for insured individuals under the National Basic Living Security Act was determined. In 2013, the fund surpassed KRW 400 trillion, making it one of the world's top three pension funds.

Support for the Basic Pension operation began in July 2014. The NPS headquarters relocated to Jeonju in January 2015. The Retirement Planning Service was fully implemented in December 2015. On January 30, 2017, NPS opened up an office in New York City's One Vanderbilt. In February 2017, the National Pension Service Investment Management (NPSIM) was relocated to Jeonju. Since 2022, Tae-Hyun Kim is the CEO of the fund. In 2022, the NPS reported an annual surplus, recent surpluses have been between 1% and 5% of GDP. In May 2024, NPS announced its intention to aim for a 65% ratio of risky assets. As of 2024, out of ₩1,101 trillion the fund had invested ₩597 trillion in assets outside Korea and ₩504 trillion domestically. In June 2024, NPS and the Korean Central Bank agreed to expand their currency swap line from $35 billion to $50 billion. In December 2024, the swap line was expanded to $65 billion. The NPS is looking to buy a portfolio of blue-chip stocks from emerging markets.