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04 January 2025

South Korea Announces 2025 Civil Service Budget Plans

New hiring guidelines and salary boosts highlight shifts in public sector management

The South Korean government has revealed its plans for budget allocation and hiring for public servants for 2025, marking significant shifts as the nation adapts to changing economic landscapes and administrative needs. According to reports, the government plans to hire 5,272 civil servants across various positions, reflecting both the demands of public service and adjustments to the nation's fiscal constraints.

Notably, the detailed breakdown of the hiring process reveals specific numbers for different ranks: 305 positions for the 5th grade, 42 candidates for foreign service, 595 for the 7th grade, and 4,330 for the 9th grade. This year's figures show not only continuity but also certain contractions compared to previous years. For example, the recruitment of 7th and 9th grade positions has seen decreased numbers, which many speculate stems from the broader trend of economic adjustments following the COVID-19 pandemic.

The government has expressed intentions to address the changing administrative environment by incorporating new roles such as digital government support, with 3 positions in the 5th grade electronics stream, 11 for administrative law at the 7th grade, and 48 for the 9th grade general environment.

To provide insight, the 2025 budget allocation also includes proposed salary increases across civil services. Reports confirm an average salary increase of 3.0% for all civil servants. For junior ranks, particularly for those at grades 9 to 7, salaries will see additional boosts, with entry-level 9th grade civil servants’ salaries exceeding 2 million won for the first time, showing commendable progress even as higher positions remain stagnant.

Despite these advancements, discussions surrounding allowance hikes have generated discontent among public officials. Efforts to raise allowances, especially for those most impacted by the structural changes, have been met with frustration due to the Finance Ministry's reluctance to agree on increases for meal allowances and position-specific subsidies. A statement from one frustrated public sector union representative underscored this sentiment: “We feel disregarded, especially since committees had already acknowledged the need for these adjustments.”

The hiring and budget proposals laid out this year will also entail changes in examination processes for prospective civil servants. Beginning from 2025, the second round of tests for the 5th grade will eliminate elective subjects, focusing solely on compulsory examinations. This adjustment reflects the government’s commitment to streamline its civil service recruitment process amid increased competition driven by smaller hiring quotas.

Further supporting diversity and inclusion, the hiring plan specifies measures to broaden recruitment opportunities for both individuals with disabilities and lower-income candidates, surpassing the legal employment quotas set by government standards.

Reaction within the civil service has been mixed. While many are supportive of the gradual salary increases, there remains palpable unrest linked to allowances, which many workers deem as inadequately addressed. One civil servant remarked, “We appreciate the increases, but if allowances remain stagnant, it doesn’t do much to ease the financial burdens many of us face.”

On top of these internal challenges, discussions also surfaced surrounding the leadership within civil service agencies. The resignation of Kim Chae-hwan, the former head of the National Civil Service Development Institute, has raised questions about the direction of civil service reforms and training amid broader controversies surrounding political neutrality and public sector management.

The backdrop to these developments is characterized by fiscal constraints and the shifting priorities within government agencies, highlighting the importance of cautious budgeting as local governments also grapple with reduced budgets. Analysts predict fierce competition among candidates for the 2025 civil service positions due to the reduced hiring levels and heightened public interest, signaling potential difficulties for those preparing for upcoming examinations.

Examinations for the recruitment will be scheduled as follows: the 5th grade and foreign service candidates will take their tests on March 8, followed by the 9th grade test on April 5, and the 7th grade on July 19. These timelines are subject to adjustments based on organizational needs, ensuring flexibility amid unforeseen circumstances.

Finally, for future candidates, the introduction of performance assessments and the restructuring of examination subjects are poised to create more opportunities for effective skill demonstration among applicants. Reflecting the increasing demand for skilled professionals adept at managing the intricacies of modern governance, public service roles continue to evolve.

The government's commitment to integrating public services with pressing societal needs signals both challenges and opportunities for the workforce. While structural readjustments remain necessary, the overarching goal will continue to support service to the public with integrity, inclusivity, and foresight.