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Serious Misconduct Offenders Receive Performance Bonuses 'Steadily'... Anti-Corruption Commission Calls for "System Improvement"

Anti-Corruption Commission Checks Implementation of Performance Bonus and Honorary Retirement Allowance Reforms
1244 Heavily Disciplined Officials Received 10.1 Billion Won in Performance Bonuses Over 5 Years
42 Billion Won Honorary Retirement Allowance Paid to 36 Individuals

Serious Misconduct Offenders Receive Performance Bonuses 'Steadily'... Anti-Corruption Commission Calls for "System Improvement"


[Sejong=Asia Economy Reporter Moon Chaeseok] A total of 542 public service-related organizations announced that they will revise regulations to withhold performance bonuses from individuals involved in serious misconduct. Among them, 491 organizations decided to exclude the payment of retirement allowances during the period when promotion appointments are restricted due to disciplinary actions, even if the individual retires.


The Anti-Corruption and Civil Rights Commission (ACRC) revealed on the 17th that it confirmed these facts through a survey on the implementation status of recommendations to improve the performance bonus and retirement allowance systems targeting 1,227 public service-related organizations.


According to last year's ACRC survey, it was confirmed that a total of 10.1 billion KRW in performance bonuses was paid to 1,244 individuals who received heavy disciplinary actions over the past five years. Additionally, 4.2 billion KRW in retirement allowances was paid to 36 individuals whose promotions were restricted due to disciplinary actions.


Accordingly, the ACRC recommended that public service-related organizations, like public officials, should not pay performance bonuses to ▲ individuals with heavy disciplinary actions ▲ those involved in misconduct such as bribery, entertainment, or embezzlement within the statute of limitations ▲ perpetrators of sexual violence, prostitution, or sexual harassment ▲ and drunk drivers.


Among the 619 institutions that reported their implementation status to the ACRC, 544 operated performance bonus systems, and 492 operated retirement allowance systems.


Of these, 542 institutions, except for two, responded that they would implement the recommended improvements to the performance bonus system, and 491 institutions, except for one, replied that they would implement the retirement allowance improvements.


Serious Misconduct Offenders Receive Performance Bonuses 'Steadily'... Anti-Corruption Commission Calls for "System Improvement" Source: Anti-Corruption and Civil Rights Commission


Regarding the timing of the performance bonus regulation revisions, 186 organizations, including the Korea Educational Development Institute, stated that they had completed or were in the final stages of revision by last year.


248 organizations, including Kangwon Land, plan to complete revisions by the end of April. Another 108 organizations, including Korea South-East Power Co., responded that they would complete revisions after April.


Two organizations that did not confirm the revision of performance bonus regulations stated that they would review the matter after consulting with labor unions.


Among the 491 institutions that responded they would implement retirement allowance system improvements, 271 institutions, including the Korea Press Arbitration Commission, completed revisions by the end of last year.


152 organizations, including Korea Water Resources Corporation, plan to revise by April, and 68 organizations, including Korea Electric Power Corporation, plan to revise after April.


Among the institutions that completed revisions, some had already implemented the changes before the recommendations. Many institutions that replied they would revise the system after April expressed their intention to proceed after the Ministry of Economy and Finance and the Ministry of the Interior and Safety update their guidelines.


The ACRC stated that since the Ministry of Economy and Finance and the Ministry of the Interior and Safety have accepted the recommendations and plan to revise their guidelines, they will promptly encourage these ministries to update the guidelines. Based on these, public service-related organizations will be guided to revise their regulations, and the ACRC will also directly encourage the relevant institutions to proceed with regulation revisions.


Yang Jongsam, Director of the Policy Bureau for Integrity Improvement at the ACRC, said, "As the agency overseeing anti-corruption efforts, we will strengthen encouragement to ensure that the recommended matters are properly implemented by the relevant institutions," adding, "We plan to actively identify and improve systems in areas perceived as unfair by the public in the future."


© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

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