National Pension Fund Committee is Decided Under the Ministry of Health and Welfare.

The government finally decided to establish a national pension fund committee to administer the national pension`s reserves, which will be a standing organization within the Ministry of Health and Welfare

It was finalized that the Prime Minister would become the chairman of the recommendation committee who would propose a national pension fund committee consisting of nine individuals.

Presiding with Prime Minister Goh Kun, the government held a Minister meeting, including the Ministry of Finance and Economy, the Ministry of Health and Welfare, Ministry of Budget and Planning and the Ministry of Administration and Home Affairs, and other ministries and decided upon this action.

The government had actually decided to put the state-run pension committee under the Ministry of Health and Welfare when it notified lawmaking of the revised national pension law. But the plan was changed so that the national pension fund committee would be established under the Office of Premier during the meeting. Meanwhile the Ministry of Health and Welfare was against that decision, and the committee of Health and Welfare in the National Assembly also decided, “It is desirable that the national pension fund committee should be under the Ministry of Health and Welfare.” The dispute was subsequently resolved, with the national pension fund committee determined to be under the Ministry of Health and Welfare.

The national pension fund committee consists of nine members including a chairman and members of a standing committee, and President Roh appoints them through a recommendation committee.

Under the national pension fund committee, there will be a special committee of three including the distribution of property, evaluation and remuneration, and observation of obeying the law. One secretariat will support the general administration.

As the national pension’s reserves would be over 1,500,000 billion won around 2035, there has been dispute over the management of right between the Ministry of Welfare to maintain the object of the national pension’s reserves and the Offices of Finance and Economy to keep economic efficiency in mind.

Dong-Won Kim daviskim@donga.com