Ways to improve Pay System of the Government Employees of korea
The pay system for government employees in general service features seniority based pay by every grade, reflecting rank in person system. The current pay system makes it difficult to conform to general directions of civil service reform that intend to increase openness and competitiveness as well as job specialty and competency. It is also inadequate in motivating public employees' learning and development and in enhancing work motivation.
The two main purposes of this study are as follows.
1. Conducting comparative analyses of pay difference or pay gap between higher grades and lower grades.
2. Having pay system reflect not only the current seniority based pay by grades but also pay based on difficulty and responsibility of the duties of a position, and on competency.
We have set up an exponential function equation to analyze the current pay table by the analogy of another model that had been used to assess the value of buildings which determines the assessment ratio of local Property Tax. This exponential function has also been used to draw alternatives reflecting a variety of pay decision criteria when the current pay system is sought to redesign.
The researchers have conducted pay related literature reviews as well as to hold experts seminars to make a decision of the direction of pay system redesigning.
We also carried out a survey to find out opinions and attitudes toward the current pay system of civil servants who belong to some departments and agencies of central government. Based on the findings of the empirical analyses, we have proposed some alternatives for the improvement of the current pay system for
government employees in general service.
This study has drawn policy alternatives such as alternative (1) and (2) which integrate a variety of pay decision criteria into pay determinants and seek to devise rational pay difference between some employees in higher grades and others in lower ones. To reinforce pay based on difficulty and responsibility of duties of a position as well as competency, this study has presented alternatives that redesign the current pay system which is mainly composed of seniority based pay by grades into a new pay structure which makes it possible to reflect pay based on job evaluation as well as competency. Alternative (1) is similar to alternative (2) in basic framework, but alternative (2) reduces the pay differences among grades.
Alternative (3) is to add to a new pay grade which may be based on job evaluation or assessment center. And It is to separate between promotion in rank of person and pay grade increase. It keeps the current pay table and reduces the breadth of pay step index by half. To make up for the reduced pay, it establishes a new pay grade in which the grade increase criteria may be set by departments or agencies' discretion. The strength of the alternatives presented in this study is that they make it possible for the current rank in person to keep in harmony with position classification based on job evaluation, making them easy to be adopted.
The alternatives of redesigning the pay system presented in the precedent studies are to introduce the new job grade system, necessarily resulting in job analysis.
However, those are to change the current base in classification in general service from rank in person to rank in position, making them difficult to be implemented.
Seen from cases of pay system for public officials and senior executive service overseas, we have concluded that job grade system for which substitutes the current rank in person is not fit for Korean public servant culture.
The alternative which separates promotion in rank of person and pay grade increase was suggested by previous studies. However, it did not present feasible and specific alternatives. This study makes contribution to pay system by offering specific alternatives overcoming the limitation of previous studies.
Alternative (2) or (3) would be better for short term. Alternative (2) is to raise decision makers' pay as well as to reflect pay based on job evaluation. Alternative (3) is one which adds a new pay grade to the current pay system without changing the current pay table, and more feasible than the other alternatives. In the early stage of introducing alternative (3) that does not conduct job analysis, public employees in general service may receive the new pay grade that is intended to get the pay similar to the current pay level in accordance with the pay table provided in the pay regulations for Korean civil servants.
The alternatives presented in this study can be characterized by being applied without a drastic change in the current pay table. The new pay system can contribute to motivating public employees' learning and development. It may also be a management tool that strengthens job motivation, raises civil servants' morale, and ultimately improves organizational performance.
공무원 보수체계의 개편방안
|Series Title; No||KIPA 연구보고서 / 2008-12|
|Subject Country||South Korea(Asia and Pacific)|
|Subject||Government and Law < Public Administration|