[2022 National Audit] Choo Kyung-ho "Performance Bonuses for Deficit Public Enterprises Are Problematic"

[Asia Economy Sejong=Reporter Kwon Haeyoung] Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho said on the 4th that "there is a sense of concern regarding the payment of performance bonuses to deficit public enterprises."

Deputy Prime Minister Choo stated at the Ministry of Economy and Finance’s National Assembly audit by the Planning and Finance Committee on the same day, "the public has doubts about whether public enterprises can pay performance bonuses despite running deficits."

He explained, "upon review, we found issues with the (management evaluation) indicators," and added, "it is necessary to create indicators that the public can agree with and to pay performance bonuses accordingly." He continued, "there have been prior voluntary return measures for public enterprises receiving performance bonuses despite deficits, and since there are problems such as significantly worsening debt ratios and reckless management in public enterprises, we will continue to examine the issue of performance bonuses for deficit public enterprises."

Regarding the sale of non-core assets of public enterprises, Deputy Prime Minister Choo said, "Assets necessary for carrying out core tasks should be retained and utilized for business operations," adding, "however, I do not agree with holding assets unrelated to business."

He also stated, "We will encourage innovation so that public enterprises can provide better services to the public and improve productivity."

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