Comprehensive Survey of 342 Public Institutions
49 Heads' Terms Expire in 2028
10% of All Heads Are Former Politicians
As of June, marking the first anniversary of President Lee Jaemyung's inauguration, it appears that approximately 60% of public institution heads will still be appointees from the Yoon Sukyeol administration. In particular, 55 institution heads appointed after the December 3 Martial Law Incident are expected to remain in their positions until the third year of President Lee's term unless specific measures are taken. Unless the misalignment between the terms of the president and public institution heads is resolved, similar issues are likely to arise in the next administration as well. While the government and ruling party have expressed their intention to address this problem, there are doubts as to whether the momentum for reform will continue ahead of the June 3 local elections.
On January 20, The Asia Business Daily analyzed 342 public institutions-including state-owned enterprises, quasi-governmental organizations, and other public agencies (including affiliated organizations)-using the Public Institution Management Information Disclosure System. The analysis found that 208 institution heads appointed during former President Yoon's administration will remain in their positions at least until June this year, marking President Lee's first year in office. There are 101 institution heads whose terms will expire by 2027, and 49 whose terms will end in 2028. This means it will take more than three years for President Lee to appoint all public institution heads using his appointment authority.
About 10% of institution heads, or a total of 34, have political experience in opposition parties, differing from President Lee and his party. In the case of state-owned enterprises, excluding those where the position is vacant or the term has expired, 8 out of 16 institution heads are former politicians from opposition parties.
Lee Hakjae, President of Incheon International Airport Corporation, is a former three-term lawmaker from the Grand National Party and served as chief of staff for then-presidential candidate Park Geunhye in 2012. Yoon Dohyun, President of Grand Korea Leisure, previously served as Senior Secretary for Public Relations at the Blue House during the Park Geunhye administration. Among those from the Yoon Sukyeol administration are Kim Dongcheol, President of Korea Electric Power Corporation, and Yoon Seokdae, President of Korea Water Resources Corporation, both of whom were part of the presidential candidate's campaign team. Kang Kiyoon, President of Korea South-East Power; Ham Jingyu, President of Korea Expressway Corporation; Kwon Myeongho, President of Korea East-West Power; and Min Youngsam, President of Korea Broadcasting Advertising Corporation, are also former opposition party members.
A total of 55 individuals were appointed between the declaration of the December 3 Martial Law and President Lee's inauguration. According to the Act on the Management of Public Institutions, the term for institution heads is three years, so most will be guaranteed their positions until 2028. Among them, Lee Changsoo, President of the Korea Employment Information Service (currently Human Rights Committee Chair of the People Power Party); Choi Chunsik, President of the Korea Petroleum Quality & Distribution Authority (National Assembly member); Lim Sangjun, Korea Environment Corporation (Presidential Secretary for National Policy Tasks under President Yoon Sukyeol); Jang Seokchun, Chairman of the Korea Labor Foundation (National Assembly member); Kim Samhwa, President of the Korea Institute for Gender Equality Promotion and Education (National Assembly member); and Lee Joosu, CEO of the Korea Energy Information Culture Agency (Seoul Metropolitan Council member), are figures who have built political careers in opposition parties.
The issue of misaligned terms for public institution heads recurs with every change in administration. During the Park Geunhye administration, Acting Prime Minister Hwang Kyoan made appointments that led to conflicts with opposition parties. At the time, former President Moon Jaein, then a leading opposition presidential candidate, criticized these as "reward-based appointments." However, during Moon Jaein's own administration, the issue of exercising appointment authority at the end of his term led to accusations of "entrenchment" from opposition parties. After the Yoon Sukyeol administration took office, about 70% of institution heads appointed during the Moon administration still had more than a year left in their terms.
Woo Sangho, Senior Presidential Secretary for Political Affairs, first raised the issue of term mismatches at the Blue House in August last year, but resigned to run in the June local elections. The "Public Institution Head Term Alignment Act," promoted by the Democratic Party, lost momentum after its main sponsor, Kim Byungki, resigned as floor leader amid a "nomination fund" controversy. A senior Blue House official stated, "There has been no progress since the issue was first raised," adding, "Although the opposition party agrees in principle, it will be difficult to resolve before the local elections."
Park Jin, Professor at the KDI School of Public Policy and Management, explained, "The problem is difficult to resolve because each side is asking the other to yield. If an agreement is reached to align the terms of institution heads and a transitional provision is included to apply it from the next administration, that would suffice." He added, "Although there will still be problems for several years, this is a more productive approach than letting time pass without a resolution."
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