"Black Company" Japan Civil Servants' Popularity Plummets... University of Tokyo Graduate General Position Pass Rate Hits Record Low

The number of University of Tokyo graduates who passed the national civil service comprehensive exam this year hit a record low due to the declining popularity of Japanese public officials. The photo shows the Ministry of Finance of Japan. Photo by Yonhap News.

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[Asia Economy Reporter Kim Hyunjung] As the popularity of civil servants plummets in Japan, the number of University of Tokyo graduates who passed this year's national civil service comprehensive exam, equivalent to Korea's administrative examination, has hit an all-time low.

According to a report by Nihon Keizai Shimbun (Nikkei) on the 31st, the number of University of Tokyo graduates who passed this year's Japanese national civil service comprehensive exam was 217, the lowest ever. This figure is less than half compared to 459 in 2015. It was also reported that there are ministries where not a single University of Tokyo graduate applied.

Nikkei analyzed that the sharp decline in the popularity of civil servants is due to the reduction of bureaucratic authority and poor working conditions. Since policies are decided under the leadership of the "Prime Minister's Office," bureaucrats' influence has diminished, and salaries and welfare benefits are worse compared to private companies. In the past, the perception of public service was so positive that there was a saying "Gwanjonminbi (官尊民卑)" meaning "bureaucrats respected, civilians looked down upon," but now it has gained the stigma of being a "black company." In response, Japanese authorities are devising various talent acquisition strategies. The Ministry of Finance encourages its employees to visit their alma maters to give promotional lectures about Ministry of Finance work, visiting not only universities but also their former high schools, and even mobilizing senior officials. Since the Ministry of Finance was once an organization composed of top elites, there are sighs within the ministry questioning "Do we really have to go this far?"

Also, the Personnel Authority, which plays a role similar to Korea's Ministry of Personnel Innovation, has decided to hold next year's comprehensive exam about two weeks earlier, and the year after that, two weeks earlier than that. This adjustment is to secure more talent by preventing applicants from quitting the exam process after securing jobs in private companies.

When comparing salaries of civil servants at the same rank adjusted for exchange rates, Japanese civil servants earn about 50% of their American counterparts and about 80% of their British counterparts. Japan's National Diet Act limits civil servant salaries to be no higher than members of the Diet, capping the annual salary for vice-ministerial level at 23 million yen (approximately 221.29 million KRW).

Nikkei warned that if civil service does not change faster than the pace of change in the private sector, the decline in popularity of civil servants cannot be stopped.

The decline in popularity of civil servants is not unique to Japan. In Korea, the competition rate for this year's national level Grade 7 civil servant open competitive recruitment exam dropped by more than 10% from last year to 42.7 to 1. The decline in competition rates is even more pronounced in the Grade 9 national exam, where the competition rate fell from 74.8 to 1 in 2013 to 29.2 to 1 this year. This is interpreted as young generations feeling less attracted to public service than before due to pension system reforms, low salaries, and rigid organizational culture.

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