Public Institution Employees Cannot Receive Performance Bonuses or Retirement Allowances if Disciplined

The Anti-Corruption and Civil Rights Commission Recommends 1,227 Public-Related Organizations... To Be Applied in the Second Half of Next Year

Anti-Corruption and Civil Rights Commission. / Photo by Hyunmin Kim kimhyun81@

[Asia Economy Reporter Moon Chaeseok] Starting next year, employees of public institutions and local public enterprises, as well as other public-related organizations, will be prohibited from receiving performance bonuses or severance pay if they are disciplined for corrupt acts, just like public officials.

The Anti-Corruption and Civil Rights Commission announced on the 13th that 1,227 public-related organizations, including public enterprises and local public enterprises, plan to apply regulations banning the payment of performance bonuses and severance pay to those involved in corrupt acts starting from the second half of next year.

Similar to public officials, if an employee is disciplined for serious offenses such as major disciplinary actions, accepting bribes or entertainment, embezzlement, sexual violence, or drunk driving, they will not receive performance bonuses for that year. Additionally, if they retire during the promotion or appointment restriction period due to disciplinary action, they will not receive severance pay.

This follows the recommendation by the Anti-Corruption and Civil Rights Commission to the Ministry of Economy and Finance, the Ministry of the Interior and Safety, and public-related organizations to improve the system in order to spread a culture of integrity in the public sector.

According to the commission’s survey, among 719 public-related organizations operating a performance bonus system, only 14.6% (105 organizations) restricted performance bonuses for those who were disciplined.

As a result, over the past five years, 52.62 billion KRW in performance bonuses was paid to 5,293 disciplined employees, and among them, 10.12 billion KRW was paid to 1,244 employees who received major disciplinary actions.

Furthermore, among 576 organizations with a severance pay system, 54.8% (316 organizations) did not restrict severance pay during the promotion or appointment restriction period due to disciplinary action, and in the past five years, 4.2 billion KRW in severance pay was paid to 36 employees under this condition.

This content was produced with the assistance of AI translation services.