Agency High-Rent Offices Criticized

Government agencies have come under fire for paying too much rent for their pricey central Seoul offices.

Grand National Party lawmaker Shin Sang-jin criticized excessive agency expenditures on rent after analyzing the financial records of 16 government commissions on April 7, not including the Advisory Committee and other non-permanent commissions.

According to the records, the 16 commissions spend a total of 15.5 billion won in rent a year, with individual rent costs ranging from 25 million won to 2.7 billion won. Rent costs constitute 22 percent of total agency expenditures.

Five of the agencies are located in Seoul’s Yangcheon, Mapo, and Seocho areas, while all the others are located in central Seoul in areas such as Jongno, Sejongno, and Jung-gu. Rents in these areas are as high as 7 million to 10 million won per pyeong. They are approximately 2 million won more expensive than Teheran-ro, a region known to be expensive in the Gangnam area.

The National Human Rights Commission of Korea was found to be paying the highest rent: 2.69 billion won a year. Next on the list are the Republic of Korea Civil Service Commission (2.23 billion won), the Korea Independent Commission against Corruption (2.205 billion won), and the Truth and Reconciliation Commission (1.98 billion won).

Management fees were also high. The Truth and Reconciliation Commission pays 45.47 million won a month for management fees for its 1,300-pyeong office, which is more than what neighboring buildings cost.

“The government explained that most of the commissions are located at the center of Seoul to be close to Cheong Wa Dae and the Central Government Complex, but that is not in line with the government’s efforts to relocate the administrative capital. The government should cut overspending before raising taxes,” said Rep. Shin.

Rep. Shin explained that the amount of money spent for rent could be cut by half if all 16 commissions were to have their offices outside the direct center of Seoul, in areas such as Chungjeongno of Seodaemun-gu, and Yeouido.

Jung-Eun Lee lightee@donga.com