Editorial
Gov't urged to review system to stop lucrative post-retirement jobs for bureaucrats
Prime Minister Yukio Hatoyama has banned government ministries and agencies from introducing post-retirement jobs to bureaucrats, a key policy measure that his administration has pledged to implement. The Hatoyama administration has also cancelled the appointments of outgoing bureaucrats to top posts in independent administrative agencies, which had been approved by the Cabinet of his predecessor, Taro Aso of the Liberal Democratic Party, and is publicly seeking candidates for these posts.
It is understandable that the government has introduced a system to invite the public to apply for top posts in public organizations that had been virtually set aside for retired bureaucrats at ministries and agencies that supervise them. At the same time, however, the government needs to rectify the customary practice of encouraging the majority of top bureaucrats to retire before their mandatory retirement age if it intends to prevent them from landing lucrative jobs in organizations they once supervised, a practice known as "amakudari." To that end, the government should quickly review its personnel management system for bureaucrats.
The Hatoyama administration took the step as an interim measure because it was forced to decide whether to cancel the appointments of bureaucrats to post-retirement jobs already approved by the previous Cabinet. The ruling Democratic Party of Japan (DPJ) pledged to totally ban amakudari in its manifesto for the Aug. 30 House of Representatives election, in which it scored a landslide victory. However, if it had overturned all the appointments of bureaucrats to post-retirement jobs, it would have caused confusion. In the end, as a desperate measure, the Hatoyama administration only cancelled the appointments of retired bureaucrats to top posts in independent administrative agencies while giving the green light to other already decided amakudari appointments.
However, if the new system, under which the government publicly seeks candidates for top posts in independent administrative agencies, has loopholes, retired bureaucrats could take advantage of them to seek post-retirement jobs in such organizations. The government intends to set up a screening committee comprised of outside experts to select candidates. However, if bureaucrats are allowed to control the committee, they could use the system to introduce post-retirement jobs to retirees.
The practice of bureaucrats' landing post-retirement jobs in independent administrative agencies and public utility organizations has taken root as their vested right. The government's contribution of funds to these organizations has been regarded as a waste of taxpayers' money.
Approximately 25,000 retired bureaucrats are currently employed by about 4,500 organizations including special public corporations, according to a survey conducted by the DPJ. However, the Hatoyama administration will also put an end to the introduction of post-retirement jobs to bureaucrats by the governmental Center for Personnel Interchanges between the Government and Private Entities, which was founded late last year. Yoshito Sengoku, state minister for administrative and civil service reform, is required to step up surveillance on personnel practices.
Central government bureaucrats have hung tough in demanding that jobs be secured for retired bureaucrats because of the customary practice of recommending that a majority of high-ranking bureaucrats retire before their mandatory retirement age.
There is no denying that senior officials could occupy their posts for an extended period, causing personnel reshuffles to stagnate and leading to higher personnel expenses, if the customary practice is discontinued without changing the current personnel system. While banning amakudari, the DPJ-led government should review the personnel system, such as allowing bureaucrats above a certain age to continue to work at lower wages or extending the mandatory retirement age.
Prime Minister Hatoyama has expressed enthusiasm about reforming the personnel system for national public servants at an early date in a bid to lay the groundwork for central government bureaucrats to continue to work until they reach the mandatory retirement age. Some DPJ legislators are calling for prudence in reviewing the system, which could worsen the working conditions for national government officials. However, the administration should not hesitate to review it in order to prevent amakudari.
(Mainichi Japan) September 30, 2009