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Kim Jin-suk, president of the Korea Expressway Corporation, gave his resignation on the 23rd. It is time for the three-year period (April 2023) with about seven months left.
As pending, the Ministry of Land, Infrastructure and Transport has decided to go through the nomination process for the president’s successor. A successor is under discussion both internally and externally.
President Kim’s resignation resulted from a divergence in his position with the Ministry of Land, Infrastructure and Transportation on food prices on highways.
On the 21st, Minister of Land, Infrastructure and Transport Won Hee-ryong posted on his Facebook that the Road Corporation is suspected of trying to resist reforms by refusing to respond to proposals such as lowering food prices in the country. highways rest areas and internal leaks to external information for the benefit of the company, he said.
Minister Won places his resignation in the context of resistance to reforms
The exposure to the media of the issue under discussion on food price cuts was seen as intentional and this was placed in a framework of resistance to reform.
President Kim expressed his resignation two days later.
Inside and outside the road construction company, “I knew I would quit once the state audit was completed, but it is regrettable that I have expressed my apologies for this sort of thing.”
Indeed, aides say President Kim had no intention of completing his term.
In the Ministry of Land, Infrastructure and Transportation, President Kim is considered a legendary figure who broke the “glass ceiling” by becoming the first secretary, section manager, director and first female auditor.
In September 2017 he was appointed Deputy Director of the Administrative Central City Construction Agency and in December 2018 he became its Director.
The first female president in the 51-year history of ceramics
Appointed president of Korea Expressway Corporation in April 2020, she was also the first female president in Korea Expressway Corporation’s 51-year history.
President Kim entered public service by passing the 23rd technical exam in 1988.
He was calm and had excellent working skills, so he was able to consolidate his position in the Ministry of Land, Infrastructure and Transport.
He was also nicknamed “The Right Kim Jin-sook” as he walked through the auditor’s office. This is because his principled tendencies were the basis of him.
His resignation this time has nothing to do with his personality.
Reducing food prices at highway rest stops is easy to say, but looking at the facility, it’s not that simple.
Only 12 out of 213 potters in the rest areas across the country are managed directly.
There are 213 freeway rest areas nationwide. Of these, only 12 are managed directly by the Road Corporation, including 3 service stations and 9 petrol stations.
It is easy to cut prices in directly operated stores, but the effect is negligible. Also, if only directly operated stores are closed, equity issues could arise.
The rest of the rest areas are managed by the operator who won the contract for the rest area from the Road Corporation under contract with dealers.
They take about 40% of their sales. 10-15% of common operating expenses such as electricity, water, parking and toilet management, 10-15% of the operator (depending on sales) and the road construction company take about 10%.
It is not possible for the shop owners to agree to lower the price of food and, in this case, the road construction company would have to give up their quota.
President Kim is known to have expressed his displeasure after hearing this. Excessive burden is interpreted as impossible as long as financial strength is compromised.
Insiders said: “We were discussing a plan to cut …”
In addition, the method of accumulating points to users through the introduction of the mileage system suggested by the Ministry of the Territory, Infrastructure and Transport is a system that is not easy to accept as the introduction of the points accumulation system costs tens of billions of won. , and consumer satisfaction is low It is an opinion.
As a result, President Kim is said to have stepped down following the outbreak of Minister Won’s inspection as the Road Corporation was discussing ways to share a certain amount of cuts between the Road Corporation and operating companies in view of the Ministry’s orders. of the Territory, Infrastructure and Transport.
There is also a reaction that President Kim’s resignation has nothing to do with the actions of Minister Won, who is classified as a presidential candidate.
It is not without criticism that it is too hasty to point out its presence within the period and get results.
The opposition parties also criticize him for “using and intimidating public institutions for political purposes”.
Minister Won has done high-intensity innovation work for 28 public institutions under his authority since taking office.
In June, after instructing public institutions to “create and present their innovation plans within a week”, a task force (TF) was set up in which private experts participated who stated that “there is a lack of awareness of the fundamental problem ”in a briefing in July.
In this process, former LH President Kim Hyun-joon voluntarily stepped down last month with one year and eight months remaining.
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