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Military, Civil Servants, and Teachers Continue to Receive Year-End Bonuses after Retirement, Costing Treasury 20 Billion Annually
pine Webmaster of Pineapple
2012/10/18 16:13
508 topics published
October 16, 2012 [Liberty Times Reporter Yan Ruojin/Taipei Report]

Is there really such a good deal in the world? Taking seven days off a week without working, yet still receiving year-end bonuses—and the longer you live, the more you get.

Legislators question payments without legal basis

DPP Legislator Kuan Bi-ling raised concerns during a legislative session yesterday, pointing out that the 445,708 retired military personnel, civil servants, public school teachers, and state-owned enterprise employees currently receiving monthly pensions are still given an annual "year-end consolation bonus" equivalent to 1.5 months' pay, costing the national treasury over NT$20.2 billion per year. "NT$20 billion a year could make highway tolls free for all citizens. Over four years, it could even fund another round of consumer vouchers for everyone!" She harshly criticized the practice as completely illegal, unreasonable, and a violation of fairness and justice.

Kuan further noted that such a budget, involving significant public interest distribution, lacks any legal basis or administrative order. Instead, it relies solely on a document titled "Guidelines for Year-End Bonuses (Consolation Payments) for Military, Civil Servants, and Public School Teachers," draining NT$20.2 billion from the national treasury.

Premier Chen: Will study whether payments are illegal

Under Kuan's repeated questioning, Premier Chen Chong responded that regulations concerning civil servants do not fall under the Executive Yuan's jurisdiction. "As for whether it's reasonable, I’ll need to consult the Examination Yuan," he said. "I will personally look into it and study whether the payments are illegal."

Director of the Directorate-General of Personnel Administration Huang Fu-yuan stated that whether it is legal for pensioners to receive the "year-end consolation bonus" is "open to discussion." However, according to Judicial Yuan Interpretations No. 614 and 443, administrative payments can be interpreted more loosely. Comptroller-General Shih Su-mei added, "We also submitted the budget for legislative review and approval."

Kuan refuted this, pointing out that pensioners had long relied on "Article 26, Paragraph 2 of the Enforcement Rules of the Civil Service Retirement Act," but the Ministry of Civil Service had already deleted this provision in November 2010 as "outdated."

Kuan emphasized that while Interpretation No. 443 allows for a looser interpretation of administrative payments, matters involving "major public interest" still require legal authorization. The Executive Yuan, however, unilaterally issued the "Guidelines for Year-End Bonuses (Consolation Payments)," which Kuan called "a complete misuse of the Judicial Yuan's interpretation."

445,000 Pensioners Receive Year-End Bonuses Without Working

Currently, 445,708 retired military personnel, civil servants, public school teachers, and state-owned enterprise employees receive monthly pensions. Kuan noted that these individuals, who "work zero days a week," still get annual "year-end consolation bonuses." To avoid scrutiny, the government renamed it a "consolation payment," but to the public, it is clearly a "year-end bonus." For example, high-ranking officials and senior civil servants, whose pensions already amount to NT$70,000–80,000 per month, receive over NT$100,000 in year-end bonuses (1.5 months' pay).

Currently, 349 retired political appointees receive an average year-end bonus of NT$79,681, while regular retired civil servants average NT$44,758.

It is estimated that the NT$20.2 billion annual cost is two to three times the NT$6–11 billion projected annual revenue from the capital gains tax and nearly matches the NT$22 billion annual revenue from highway tolls. In other words, canceling these year-end bonuses for pensioners could eliminate the need for the capital gains tax or make highways entirely toll-free.

Kuan stated that she would propose halting the payments in next year's budget. As for this year's payments, since last year's budget has already been allocated, she will demand the Executive Yuan immediately request an explanation from the Ministry of Civil Service.Source: http:/ / tw. news. yahoo. com/ mil……re- 20- billion- 202815136. html;_ylt=Ai9uJxL.pzI3lRAS8a6T9z7BBdF_;_ylu=X3oDMTVkZHNzcGpjBGNjb2RlA2N0LmMEbWl0A01peGVkTGlzdCBNb3N0UG9wdWxhciBQb2xpdGljcyBTRgRwa2cDYjUwZDJhMGEtNzZkZC0zZWY2LWI1ZmMtYmRlZTgxZjMwMmNhBHBvcwM4BHNlYwNNZWRpYUJMaXN0TWl4ZWRNb3N0UG9wdWxhckNBVGVtcAR2ZXIDMGU4Y2U4NzgtMTczNC0xMWUyLWFhZmQtZWE3MGM0MjIxMWQy;_ylg=X3oDMTIwMG1kcXU1BGludGwDdHcEbGFuZwN6aC1oYW50LXR3BHBzdGFpZAMEcHN0Y2F0A.aUv.ayu3znvo7niZsEcHQDc2VjdGlvbnM-;_ylv=3
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