South Korea’s major business groups picked scholars and corporate figures over retired public officers as outside directors this year, data showed Wednesday.
According to corporate researcher CEO Score, 43.2 percent of 125 outside directors newly appointed at 94 listed firms affiliated with the nation’s top 30 conglomerates, came from academic and business circles.
Entrance to the Seoul Bar Association (Yonhap)
The number was up eight from last year’s figure. The data also showed that 40.8 percent had served in government organizations, including law enforcement agencies, tax offices and corporate watchdogs, down nine from last year.
Four newly appointed outside directors at Hyundai Motor had careers in the public sector, with only one coming from the business world.
Doosan, Lotte and other groups also showed higher ratios of bureaucrat-turned-directors at around 70 percent, while SK, POSCO and Hanjin filled their boardrooms with outside directors who were not former bureaucrats.
But the ratio of bureaucrat-turned-directors was still high compared to Fortune’s 100 best companies, which filled up 3 out of 4 board seats with business professionals. Ex-public officials accounted for less than 10 percent of all directors at American companies, followed by scholars and accountants.
(
khnews@heraldcorp.com)