Kim Seungwon: "Of 66 Subject to Post-Retirement Employment Review,
34 Reemployed at Affiliated Companies, 31 at Subsidiaries"
It has been confirmed that a significant number of former executives and employees of Korea Development Bank, who were subject to post-retirement employment reviews, moved directly to affiliated or subsidiary companies immediately after leaving the bank. There are growing calls to address the revolving door hiring practices.
According to data on post-retirement employment of former executives and employees, submitted by Korea Development Bank to Assemblyman Kim Seungwon of the National Assembly’s Political Affairs Committee on September 30, 34 out of 66 individuals subject to review between 2017 and June of this year were reemployed at affiliated companies, while 31 were reemployed at subsidiaries.
By year, the numbers were 8 in 2017, 6 in 2018, 11 in 2019, 10 in 2020, 2 in 2021, 10 in 2022, 9 in 2023, 5 last year, and 5 in the first half of this year. This indicates that reemployment has taken place consistently every year.
Of the 66 retirees, 54 (82%) found new employment within three months of leaving the bank. Six were reemployed within one year, and three each after two and three years, respectively.
There is criticism that this ongoing practice of immediate reemployment at affiliated or subsidiary companies after retirement may lead to conflicts of interest.
Assemblyman Kim emphasized, "The fact that former executives and employees of Korea Development Bank are reemployed at affiliated companies in less than three months after retirement seriously undermines public trust in a public financial institution," adding, "We must decisively end the revolving door hiring practices that neglect public responsibility and quickly establish a system that the public can accept."
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