Japan Press Weekly

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2007 April 11 - 17 [POLITICS]

‘Jobs bank’ goes against calls for a ban on officials’ ‘parachuting’ to private sector

Akahata editorial (excerpts)

The Abe Cabinet has put forward a plan to create a new system called “jobs bank” that will help retiring government employees find jobs. It intends to submit a bill to amend the National Civil Service Law by the end of April. This is a move that goes against the demand of the public for a complete ban on the system of “parachuting.”

Under the “parachuting” system, retiring high government officials will find high-paying jobs at government-related public corporations and later move to private sector companies after receiving large amounts in retirement pay. These companies can use former high government officials they have hired to influence government policies to their benefit.

Prime Minister Abe Shinzo has touted the “jobs bank” plan as a way to eliminate government agencies’ practice of forcing the private sector to hire former high officials.

However, at issue today is not whether or not government agencies are putting pressure on private sector companies. The real question is the fact that the “parachuting” system serves as a mechanism that causes corrupt relations between business circles and the government.

Recent bid-rigging scandals involving the then Japan Highway Public Corporation and the Defense Facilities Administration Agency show clearly that business circles and government agencies form collusive alliances when they find an agreement in interests that will satisfy the interests of high government officials and enable companies to be awarded high-priced contracts at the same time.

The government’s reluctance to eliminate the practice of high officials’ “parachuting” is made clear from Liberal Democratic Party Secretary General Nakagawa Hidenao’s recent statement that “personnel exchanges between the public sector and private sector should be promoted further” and that “parachuting” should be subject to certain regulations to be applied after “parachuting” instead of the present “prior approval.”

It is clear that the aim of creating the “jobs bank” is to help abolish the existing regulations on “parachuting” and liberalize it in the name of expanding “government-private personnel exchange.” This is nothing but easing regulations to help increase collusive relations between the business sector and government agencies. .

As the Japanese Communist Party has long called for, it is necessary to regulate the “parachuting” practice by extending the period of the ban on “parachuting” to five years and applying the ban not only to government officials but also to officials of public interest corporations and government-affiliated public corporations. - Akahata, April 12, 2007