an overview of korean administrative systems and public management reforms in the recent
TRANSCRIPT
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Human Resource Management in Government:
The Case of the Republic of Korea
International Roundtable on Civil Service Legislation, Systems and Reforms
Hotel Bumikarsa in Bidakara Jakarta on March 17, 2009
Pan Suk Kim, Ph.D.
Director & Professor of Public AdministrationInstitute for Regional Studies and Development
College of Government and BusinessYONSEI UNIVERSITY, South Korea 220-710
E-mail: [email protected] or [email protected]
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Contents
1. Korea at a Glance
2. HRM Agency, Civil Service Law, and
Civil Service Systems
3. Civil Service Reform
4. Other Related Reforms
5. Lessons Learned1
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1. Korea at a Glance
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Republic of Korea:
9 + 7 provincial-level governments
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4
Structural Layers of Government
Top(Central)
Central Government
(Ministry of Public Administration and Security)
(MoPAS)
Middle
(Provincial-
Level)
1 Special Metropolitan City
6 Metropolitan Cities
9 Provinces (Do)
Bottom
(Municipal
Level)
77 Cities (Si)
86 Counties (Kun)
69 Autonomous Districts (Jachi Ku)26 Districts (Ilban Ku)
3,588 Town/Village (Eup, Myon, Dong)
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National Assembly and Political Parties
• National Assembly; unicameral system: 299 seats (245+54); 4-year term (women: (41
– Grand National Party: 180 (60%)
(increased from 129)
– Democratic Party: 81 (27%)
(significantly reduced)
– Liberal Forward Party: 18
– Democratic Labor Party: 5
– Creative Korea Party: 3
– Independent: 12 5
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The Head of the State
The Head of the Executive Branch
The Commander in Chief of the Armed Forces
The Leader of the Ruling Party
5-Year Single Term (2008.2--2013.2):
Presidential Election: December 2007, 2012
The President:Lee, Myung-Bak
Presidential Secretariat
Presidential Security Service
Office of the President
Prime Minister
State Council
President
Ministries
Administrations
Organs assisting PresidentOffice of the President
Organs assisting P.MOffice of Prime Minister
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Reorganized in March 2008
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2. HRM Agency, Civil Service Law and HR Systems
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Ministry of Public Administration and Security (MoPAS)http://www.mopas.go.kr
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Country Related Laws
Korea National Civil Service Act (1949)Local Civil Service Act (1963)
Japan National Civil Service Act (1947)Local Civil Service Act (1950)
China Ordinance of the Civil Service: 1993 Promulgated the Civil Servant Law: 2005 (effective in 2006)
Vietnam Ordinance of the Civil Servants and State Employees (1998) Promulgated the Civil Service Law in 2008 (Effective in 2010)
Legal Frameworks: Comparison
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China Japan Korea Vietnam
Civil Servant Law National Civil Service Act
National Civil Service Act
Civil Service Law
1. General Provisions
2. Qualifications, Obligation & Rights of Civil Servants
3. Positions and Ranks4. Recruitment5. Appraisal6. Appointment and Removal7. Promotion and Demotion8. Awards9. Disciplinary Action10. Training11. Transfer and Avoidance12. Salary, Benefits and Insurance13. Resignation and Dismissal14. Retirement15. Appeals and Complaints
16. Employment by Contract
17. Legal Liabilities
18. Supplementary Provisions
1. General Provisions
2. Central Personnel Management Agencies
3. Standards for Government Positions3-1. General Rules3-2. Position Classification3-3. Examination, Appointment and Dismissal3-4. Remuneration3-5. Efficiency (appraisal and improving training programs)3-6. Change in Employment Status, Disciplinary Action andGuarantee3-7. Service Discipline (obligations and restrictions)3-8. Retirement Pension System3-9. Employee Organization
4. Penal Provisions
1. General Provisions
2. Central Personnel Management Agencies
3. Classification System of Position4. Appointment and Examination5. Remuneration6. Efficiency (appraisal, training, reward)7. Service (obligations and restrictions)
8. Guarantee of Status
9. Guarantee of Rights and Interests
10. Discipline
11. Penal Provisions
12. Supplementary Provisions
1 General Provisions
2. Rights, Obligations and Responsibilities of Civil Servants
3. State Management of Civil Servants
4. Election, Recruitment, Utilization and Management of Civil Servants4-1. Election4-2. Recruitment4-3. Classification of Civil Servants and Regulations on Grades of Civil Servants4-4. Training and Upgrading4-5. Transference, Rotation, Secondment, Appointment, Removal from Position, Resignation4-6. Civil Servant Appraisal4-7. Termination, Retirement and Extension of Working Time beyond Retirement Age
5. Conditions for the Civil Service Operation6. Civil Service Inspection7. Rewards and Disciplinary Actions8. Enforcement Provisions
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Positive vs. Negative
Dos vs. Don’ts
Reward vs. Penalty
Assistance vs. Discipline
Rights vs. Obligations (Duties)
Approach: Balanced or Skewed?
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Career-Based System Position-Based System
BelgiumGermanyIrelandJapanKorea
LuxembourgMexicoPortugalSpain
* Recruited at lower levels and move up in their career .
AustraliaFinlandNetherlandsNe w ZealandSwedenSwitzerlandUKUSA
* Open to external recruitment and direct applications to the specific post.
Career vs. Position-Based System
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Vertical Classification
Grade 6
Grade 7
Grade 8
Grade 9
Grade 5
Grade 4
Grade 3
Grade 2
Grade 1
Supporting
Officer
Deputy Director
Division Director
Director General
(DG)
Assistant Secretary
Grading of the Korean Civil Service
SCS
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Political
Appointees:
Ministers and Deputy Ministers
Japan
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The Ruling Party
The Legislative Body
Local
Governments
State-Owned Enterprises & Public Bodies
The Judiciary Body
The Executive
Body
The Scope of the Civil Service Law?
Who are Civil Servants?
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Workforce in the Executive Branchas of June 30 2007
• Total Employees in the Executive Branch: 947,552 persons
• Number of Central Government Employees: 600,502 (63.4 %) including education (346,133), law enforcement (126,698), general service (94,429), and others (33,242)
• Number of Local Government Employees:
347,050 (36.6 %)
• Total Population: 48 million (estimated 2008)
• Ratio of Population/Gov’t Employees = 51 : 1
Large or
Small?
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Compensation: Annual Salary of
Government Executives (Unit: Korean 1000 Won)
President 168,671 Prime Minister 130,761
Chair of the Board of Audit and Inspection (BAI)
98,927
Minister or Minister-Level 96,155Deputy Minister or
Deputy Minister Level(MPs)
93,382
17US President = $400,000 per year (it was $200,000 in 1969-2001), US Vice President (2005) = 208,100, Speaker of the House = 208,100, US Senate/House = 162,100
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Contribution from
Civil Servants(8.5% of
monthly pay)
Payment from National or
Local Governments(8.5% of
monthly pay)
Pension Fund Management:
Investment and Service Delivery
Promulgated the Law on Civil Servants’ Pension
in 1960
Pension for Civil Servants
* This rate was increased several times over the years
17 % of monthly salary is accumulated
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3. Civil Service Reform
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New Civil Service System
High
Competitive-
edge
Low expertise
due to frequent
rotation
Lack of
Accountability
&
Responsiveness
Closed
System
&
Rigidity
Old
System
Openness FairnessExpertise
Autonomy Accountability
Civil Service Reform Vision
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Management System
Recruitment Method
High Quality Workforce
Performance Management
Government Culture
Centralized Decentralized Autonomy and choice
Closed Open Right person in right position (FIT)
Generalist Specialized generalistCompetency with good leadership
Seniority-based Performance-based
Hierarchical, one-way communication innovative & proactive, two-ways
Major Civil Service Reform Tasks
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Improvement of Recruitment Methods
• Open/Competitive Recruitment Examination
Exam for Grade 5 ( Fast Track): 3 rounds
• (1) Public Service Aptitude Test (PSAT) +
• (2) Essay Test +
(3) Interview (intensive interview including
structured blind interview): what did you do?
• The PSAT consists of 3 parts:
the Linguistic and Logical Ability Test
the Data Interpretation Ability Test, and
the Circumstantial Judgment Ability Test
Exam for Grade 7 – technical level
Exam for Grade 9 – entry level
* Transformation from KSA Model to KSAV Model22
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- Past: Closed personnel system
Vacancies were filled mostly through
internal promotion
• - Now : More open system to the private sector
Many senior positions are now occupied by outside experts.
External experts are encouraged to be employed.
Open Position System:External Competitive Recruitment
10/19/08 23
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Job Posting System: Government-wide Recruitment
• - Vacant positions are posted for recruitment from
• entire civil service, not just from the relevant Ministry.
• - All eligible civil servant is encouraged to apply for the
• posted position.
• - Applicants are interviewed by
the selection committee.
2001 2002 2003 2004 2005
Participating Ministries 4 5 29 35 43
Number of Jobs Posted 5 13 234 246 1,139
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Senior Civil Service (Effective on July 1, 2006)
Staffing
Expanded System by open competitions
- (e.g.) Open Position System + Job Posting
System + Agency Flexibility
Core
Qualification
Prospective senior managers : Successful completion of
SCS Candidate Development Programs and Certification
of Competence
Grade2
Grade3
Grade1
Grade4
Candidates
From private
sector
Division Directors
Past Today
Senior Civil Service
Screen
ScreenScreen
Screen
Screen
Screen
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Job and
Performance
related Pay
Differentiated pay scheme based on difficulty and
importance of the job and position
Continuous extension of performance-related pay
- increased portion of performance-related pay (PRP)
SCS’sPay Scheme
【Annual Salary】
【Job Pay】
5 4 32 1
+【Performance Pay】
Accrues to the next
year’sbasepay
【Base Pay】 +
SCS
Maximum
Minimum
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Performance Appraisal for Higher-Levels:
Performance Agreement
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Performance Appraisal for Mid- and Low-level Officials
• Job performance:
- job difficulties
- completeness
- timeliness, etc...
• Job-fulfilling abilities:
- planning
- communication
- cooperation
- customer-orientation, etc...
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PRP Schemes
Performance-Related
Pay (PRP) SchemesContents
Annual Merit
Increment Program
(AMIP)
Yearly stipend system; applied to
director-general and above;
and increased variable
proportion of pay is added to
the fixed portion of the
following year
Performance
Bonus Program
(PBP)
Lump sum bonus; and applied to
division director and below
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SCS’s Performance-Related Pay Frame:
Annual Merit Incremental Program
Appraisal
Grade
Excell-
ent(Grade S)
Outstan
-ding (Grade A)
Normal
(Grade B)
Unsatis-
Factory(Grade C)
Payment
Scope
Top
20%30% 40%
Bottom
10%
Performance
Pay Rate15% 10% 5% 0%
30Ideal vs. Reality(Textbook vs. Field)
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Annual Performance
Appraisal
Competency Appraisal
Audit Result
Policy Appraisal
PerformanceInformation
Accumulation of record
Recommendation&
Nomination
Data for promotion
Data forCareer-
development and training
Utilization of Performance Records:
Toward more performance-based employment practice?
Individual Performance Record File
Press Coverage
Co-worker interview
Personnel Policy Support System
HR Database for
Public Service
Application of record
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Establishment of HR Database
32One-stop Portal for Civil Service Entrance Examinations: http://www.gosi.go.kr
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Competency Assessment and Leadership Development
• Horizontal Dimension: CommunicationCustomer Orientation
• Vertical Dimension:VisionCoordination & Integration
• Working:Result OrientationProfessionalismInnovation
• Thinking:Cognitive ComprehensionStrategic Thinking
Comparison• American SES: Core
Qualifications (ECQs)
- ECQ 1: Leading Change - ECQ 2: Leading People - ECQ 3: Results Driven - ECQ 4: Business Acumen - ECQ 5: Building Coalitions
• British SCS: Leadership Qualities for the SCS
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HRD Innovation
Better Training and Development * The performance of the training institutes has been improving
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Central Officials Training Institute (COTI)
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Personal Capacity Building: Leadership Development
New Manager Development Course (NMDC)
Manager Development Course
(MDC)
Business Management
Course (BMC)
Executive
Development
Course
(EDC)
Advanced Manager Course (AMC)
Foundations of Leadership (FoL)Who: High potential individual contributors with peer leadership responsibilities
Who: Newly appointed managers with direct reports
Who: Experienced managers currently with or new to GE, and with direct reports
•New Competencies: coordination/collaboration, integration, conflict resolution, tolerance for diversity and ambiguity, persuasive leadership, external awareness, political savvy……..
How many hours per year?
Up to 100 hrs?
In what ways?
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4. Other Related Reforms
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Innovation of Presidential Personnel for Political Appointees
• The office in charge of political appointments should SELECT the best candidates for vacant executive positions need institutionalization of presidential personnel
• The President/the Prime Minister must GUIDE them to get policies implemented Political appointees need to develop their competency in taking HRD or orientation programs Provide HRD (training/workshop/seminar, references, guidebooks) otherwise, they may fail
• Furthermore, a performance EVALUATION system for political appointees should be developed for their self-discovery and professional development
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• Established the Office of Secretary to the President for Personnel Affairs in the Office of the President (www.cwd.go.kr)
Vacancy Identify candidates
Candidates don’t apply
Candidates apply: Systemization
Screen candidates against criteria
Candidates drop out
Select/Nominate appointee
Candidates decline
Execute Hearing process for cabinet members)
Candidates drop out
Position filled Appoint appointee
Political Appointment Innovation
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Screening:Expertise,
Financial
Disclosure,
Morality,
Integrity,
Conflict of
Interest....
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Recommendation
Expertise
Competency
Screening
Morality, Integrity,
Conflict of Interest
Hearing(Cabinet Members)
Expertise, Morality
Conflict of Interest
Appoint
Personnel Screening for Political Appointees: Ethical Leadership
(1) Process-based Personnel Screening: start from financial disclosure
(2) Content-based Personnel Screening
Competency
Morality
Conflict of Interest
Political Screening
Task capability: positive factors
Morality, Integrity: negative factors
Conflict of Interest
Political career, orientation, etc
Personnel
Screening
Real Estate Speculation?Plagiarism?
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Anti-Corruption & Civil Rights Commission (ACRC)1981: Promulgated the Public Service Ethics Act2001: Promulgated the Anti-Corruption Act2002: Established the Korea Independent Commission Against
Corruption (KICAC)2008: Consolidated 3 agencies: KICAC with the Ombudsman
and the Administrative Appeals Commission
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Corruption = Monopoly + Discretion –Accountability – Transparency –Compensation
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5. Lessons Learned
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• Past: HR systems have been different in the public and private sectors
• Present and Future: Move towards “Normalization”
• “Normalization” means a process where employment procedures and conditions gradually become more like those existing in the private sector HRM in government and business becomes similar!
• This process is sometime called “flexbilization.”
The State of the Civil Service
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• A shift from statutory to contractual or managerial governance of the employment conditions
• A career-orientation can be gradually replaced by a position-orientation
• Positions above the entry level can be opened up for external recruitment
• Pay differentials between different skills, tasks and workplaces tend to increase
What Does Normalization Mean?
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Question: How to get there?
(1) Jumping to the top? or (2) Climbing up the ladder?