[Exclusive] President's Base Salary '300 Million Won'... KEPCO University Tops Power Group Companies in Annual Salary

Kepco University President's Base Salary '300 Million KRW'... Performance Bonus Up to 300 Million KRW
Annual Salary 480 Million KRW Even with Internal Evaluation Grade B... Highest Level in Korea
Average 170 Million KRW at 4 Major Science and Technology Institutes... 100 Million KRW More Than KAIST President
'Deficit Swamp' Kepco Funds Operating Costs... Some View Salary as Excessive

[Image source=Yonhap News]

[Asia Economy Sejong=Reporter Lee Jun-hyung] The basic salary of the president of Korea Energy Engineering University (KEEU) is nearly twice as high as the average of the four major science and technology institutes, including KAIST. KEEU is a university established with funds contributed by Korea Electric Power Corporation (KEPCO) as a national project under the Moon Jae-in administration.

According to data submitted by KEEU to the office of Park Soo-young, a member of the People Power Party, on the 1st, the basic salary of the KEEU president was set at 300 million KRW. Performance bonuses, which are paid once a year with varying amounts, are separate. If the president receives an S grade in the internal annual evaluation, 100% of the basic salary (300 million KRW) is paid as a performance bonus. For A and B grades, 80% (240 million KRW) and 60% (180 million KRW) of the basic salary are paid as performance bonuses, respectively. Even with a B grade, the KEEU president earns an annual salary of around 500 million KRW.

The basic salary of the KEEU president is about 1.8 times higher than that of the four major science and technology institutes. The average basic salary of the presidents of KAIST, UNIST, GIST, and DGIST this year is 168.9 million KRW, which is 56.3% of the KEEU president’s basic salary (300 million KRW). Even the KAIST president, who has the highest basic salary among the four institutes (193.27 million KRW), earns more than 100 million KRW less than the KEEU president. The president of Korea Electric Power International Nuclear Graduate School (KINGS), operated under KEPCO with a similar purpose of fostering the national energy industry, received a basic salary of 144.28 million KRW last year. Even combined with a performance bonus (49.91 million KRW), it is about 106 million KRW less than the KEEU president’s basic salary.

The situation is similar when compared to the power group companies that finance the establishment and operation of KEEU. The basic salary of the KEPCO president this year is 161.03 million KRW, about 140 million KRW less than the KEEU president. The basic salary of the presidents of power generation subsidiaries such as Korea Hydro & Nuclear Power is 145.11 million KRW, about 48.4% of the KEEU president’s salary. The presidents of KEPCO Engineering & Construction and KEPCO KPS receive basic salaries of 143.12 million KRW and 143.13 million KRW, respectively.

KEEU also offers some of the highest professor salaries in the country. The average annual salary of 15 full professors at KEEU is 200 million KRW. Including scholar-level professors, who make up about 20% (10 professors) of the total faculty (48 members), the average salary of full professors at KEEU rises to 280 million KRW. This is about 2.5 times higher than the average annual salary of full professors at domestic national and public universities (114.42 million KRW).

Such high salaries could be interpreted as extravagant management. KEPCO, the financial source of KEEU, has faced criticism for increasing the number of employees earning over 100 million KRW by about 300 within a year despite consecutive large-scale deficits. There are concerns that the KEEU president receiving hundreds of millions of KRW in basic salary may not align with public sentiment, especially as KEPCO is tightening its belt to resolve deficits.

Representative Park said, “KEPCO, which is expected to have a deficit of about 40 trillion KRW this year, finances KEEU’s operating expenses,” adding, “Nevertheless, the KEEU president’s basic salary is higher than that of the president.” Park also stated, “KEEU was established based on political logic despite opposition from many experts. Energy personnel are already being nurtured at the four major science and technology institutes and KINGS.”