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Approach, methodology and evidence for Korea
Government at a glance Approach, methodology and evidence for Korea Zsuzsanna Lonti Senior project manager OECD Workshop on “Government at a Glance” Seoul, 13 May 2016
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What is GaaG? Biennial publication: 2009, 2011, 2013 and 2015
50+ indicators covering the entire “production chain” of government activity (dashboard approach) Output and outcome data; efficiency and effectiveness indicators Includes all 34 member countries & partners & observers What is new in 2015: Centres of Government Serving citizens Public database fully available
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The GaaG framework
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Objectives of Government at a Glance
Regarding policy development: Provide comparative data on: a) Government capacity b) Government performance Support policy makers to deliver on government priorities Help governments to better serve citizens and businesses
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Objectives of Government at a Glance
For practitioners: Understand better their own practices Demonstrate their progress Benchmark their own achievements through international comparisons Link practices to performance over time Learn from the experience of other countries facing similar challenges
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Topics covered Policy areas covered Core indicators
Re-occurring data for time series analysis Public finance & economics Public employment Public sector integrity Public procurement Core government results Serving citizens Periodic indicators Alternate in editions Budget practices & procedures Regulatory governance Public institutions (Centres of government) Digital government (Open Government Data) Special features Timely/topical data and issue-areas Health budgeting Remuneration and employment reforms (HRM) In green: New or consolidated chapters of GaaG 2015
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a Glance 2015
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How large is the Korean bureaucracy?
Figure: Government expenditure (x axis) and government employment (y axis) in New Zealand and OECD countries Key message: Norwegian government way bigger than OECD average. Public employment represents close to 35% of total employment. (OECD: 21%) Government expenditures represent more than 45% of GDP. (OECD: 42%) Source: OECD National Accounts Statistics (database); International Labour Organization (ILO), ILOSTAT database.
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What is the size and trend in public expenditures?
General government expenditures as a percentage of GDP, 2007 and 2014 Source: OECD National Accounts Statistics (database).
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How are goods and services produced?
Expenditures on general government outsourcing as a percentage of GDP, 2009 and 2014 Breakdown of production costs as a percentage of GDP, 2009 and 2014 Note: Countries of Canada,the United Kingdom, the United States do not account separately for goods and services financed by general government in their National Accounts. Australia and Japan: 2013 rather than 2014 Source: OECD National Accounts Statistics (database). Data for Australia are based on a combination of Government finance statistics and National Accounts data provided by the Australian Bureau of Statistics.
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How much public spending is dedicated to investment expenditures?
Government investment as a share of total government expenditures, 2007, 2009 and 2014 Mention the recent report by Jano’s and paulo ’s team on public procurement systems in Korea. Note: Australia, Chile, Japan, Mexico, New Zealand and Switzerland : 2013 rather than 2014. Source: OECD National Accounts Statistics (database).
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Investment expenditures at sub-central levels
Share of sub-central government investment expenditures, 2007 and 2014 Note: Local government is included in state government for Australia and the United States. Australia does not operate government social insurance schemes. Social security funds are included in central government in Ireland, New Zealand, Norway, the United Kingdom and the United States. Australia, and Japan: 2013 rather than 2014 Source: OECD National Accounts Statistics (database).
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Public sector employment
Public sector employment, 2009 and 2013 As a share of total employment As a share of the labour force Source: International Labour Organization (ILO), ILOSTAT database. Data for Italy are from the National Statistical Institute and the Ministry of Finance. Data for Korea were provided by national authorities.
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Compensation of government employees
Compensation of general government employees as a share of total general government expenditures, 2007, 2009 and 2014 Source: OECD National Accounts Statistics (database)
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HR decisions are based on performance
Extent of the use of performance assessments in HR decisions in central government (2010) Value of the composite Source: 2010 OECD Survey on Strategic Human Resources Management in Central/Federal Governments
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Average working hours per year by central government employees (2010)
With high working hours Average working hours per year by central government employees (2010) Number of hours OECD: 1742 hrs/year Korea: 1814 hrs/year Source: 2010 Survey on Compensation of Employees in Central/Federal Governments
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And relatively low absences
Average number of working days public employees are absent on sick leave per year (2009) Number of days OECD: 10.5 Korea: 7.8 Source: 2010 Survey on Compensation of Employees in Central/Federal Governments
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Components of the total compensation for the public servants
Compensation of employees in central/ federal governments Theoretical framework Components of the total compensation for the public servants Working time correction Employers’ social contributions Gross wages and salaries 1. Gross wages and salaries including: Basic wages and salaries paid to the employee; Additional payments limited to: Compensations for time not worked Bonuses and gratuities regularly paid Bonuses and gratuities not paid in a regular fashion No kind benefits nor overpayments 2. Employers’ social contributions: Employer’s contribution to statutory social security schemes or to private funded social insurance schemes; Unfunded employees social benefits (Restrict to old age, pension, sickness and health) 3. Working time correction: Contractual working time in hours per week Average working days per year of holiday Number of public holidays per year Source: 2011 OECD Compensation Survey
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Structure of compensation Cash vs benefits
Breakdown of general government employees’ compensation in Korea and OECD countries All percentages on figure. Source: 2012 OECD Survey on Compensation of Employees in Central/Federal Governments; OECD STAN/National Accounts Statistics (database).
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Pay relativities in central government across OECD
Average annual compensation for selected central government positions, Korea and OECD average (2011) 2011 USD PPP X 4.6 x 2.7 All percentages on figure. Average earnings of university graduates Source: 2012 OECD Survey on Compensation of Employees in Central/Federal Governments; OECD STAN/National Accounts Statistics (database).
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Asset disclosure – Methodology for the composites
WHO has to disclose? WHAT is disclosed? HOW is it disclosed? Executive branch President Assets Information is disclosed and publicly available online or print Prime Minister Liabilities Information is disclosed and publicly available upon request Ministers/Members of cabinet Income sources Information is disclosed and not publicly available Political advisors/appointees Income Amount Disclosure is not required Senior civil servants Outside position: Paid Not applicable (e.g. the country does not have such positions) Civil servants Outside position: Non-Paid Prohibited (e.g. to receive a gift) Legislative branch Upper house legislators Gifts Lower house legislators Previous Employment Judicial branch Judges Prosecutors At risk areas Tax and customs officials Procurement agents Financial authorities
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Asset disclosure – by branches
Level of disclosure and public availability of private interests across branches of government, 2014 Source: Source: OECD (2014), Survey on Managing Conflict of Interest in the Executive Branch and Whistleblower Protection.
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Asset disclosure – by position in the executive branch
Level of disclosure and public availability of private interests by the level of public officials in the executive branch, 2014 Source: OECD (2014), Survey on Managing Conflict of Interest in the Executive Branch and Whistleblower Protection.
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Serving citizens – the framework
ACCESS RESPONSIVENESS RELIABILITY/QUALITY Affordability Citizen centred approach (courtesy, treatment and integrated services) Effective delivery of services and outcomes Geographic proximity Match of services to special needs Consistency in service delivery and outcomes Accessibility of information Timeliness Security ( safety) In key public sectors including in the latest edition health care, education, and justice.
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Access to care Financial access(affordability)
Direct out-of-pocket payments by patients as a share of final household consumption, 2013 Data for Australia and Japan are for 2012 rather than 2013. Source: OECD Health statistics, 2015
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Responsiveness of school systems Match of services to special needs
Lower secondary education teachers’ needs for professional development for teaching students with special needs (2013) Source: OECD, TALIS 2013 (database) The United States are excluded from the OECD average because they did not meet the international standards for participation rates.
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Quality of care Effective delivery of services and outcomes
Reduction in admission-based (same hospital) case-fatality in adults aged 45 and over within 30 days after admission for AMI (heart attack), (or nearest year) Acute myocardial infarction (AMI) = Heart attack More info: AMI remains a leading cause of morbidity and mortality in OECD countries. Myocardial infarction occurs when myocardial ischemia, a diminished blood supply to the heart, exceeds a critical threshold and overwhelms myocardial cellular repair mechanisms designed to maintain normal operating function and homeostasis. Ischemia at this critical threshold level for an extended period results in irreversible myocardial cell damage or death. 95% confidence intervals represented by ׀-׀. Source: OECD Health Statistics (database)
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Quality of school systems Consistency in service delivery and outcomes
Percentage of variance in PISA mathematics score explained by socio-economic background, 2012 Source: OECD, PISA 2012 results: Excellence through equity, 2013
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Reliability of judicial systems Effective delivery of services and outcomes
Effective enforcement of civil justice and freedom from improper government influence, 2015 Source: World Justice Project, Rule of Law Index, 2015 Data for Iceland, Ireland, Israel, Luxembourg, the Slovak Republic and Switzerland are not available. Data for Hungary are not displayed.
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This…and much more in Government at a Glance
Public database fully available Regular editions Regional edition (LAC, SE ASIA) Country focused edition
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Next G@G 2017 – Tentative TOC
Policy chapter (topic to be defined) Public Finances and Economics Public Employment and Pay Institutions Budgeting practices and procedures Human Resources Management Public sector Integrity Regulatory governance Public Procurement Digital Government Open Government/Open Data Critical Risk Management Core Government Results Serving citizens We are still considering adding 2 more chapters : gender and innovation
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Discussion How far do these indicators reflect your perceptions on how Korea’s public sector compares to OECD countries? How can continue to inform public sector reforms in Korea in future years? What would be areas where comparative data and evidence would be particularly needed?
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