The government's intention in pension reform is solely to improve the system for the nation, Executive Yuan Spokesperson Cheng Li-wun said in response to the Democratic Progressive Party's (DPP) allegations today that Premier Jiang Yi-huah is motivated by personal gain.
The DPP has never taken the pension reform issue seriously, said Cheng, and it has not engaged in the dialogue since January when its pension reform proposal was widely criticized as full of contradictions and errors. "The DPP has still not put forward a well-thought-out proposal, and now it is making a malicious claim to malign scholars that enter public service, saying they do so for the purpose of fattening their purses."
As for accusations that the Cabinet's proposed amendment to the Rules Governing the Retirement and Consolation Payment to Political Appointees would increase Premier Jiang's retirement pension, Cheng explained that the revision was intended to remove obstacles to recruiting talent. "It is disappointing that the DPP has not considered the national benefits that could come from recruiting outstanding people."
Promulgated and implemented on January 1, 2004, that law was sent to the Legislature for amendment in 2009, Cheng said. But because the amendment did not pass that legislative session, it was submitted to the Legislature again in 2012, well before the launch of the pension reform, she said.
According to Cheng, under the new pension system, a 30-year university professor earning a monthly salary of NT$107,525 (US$3,613) will be entitled to a monthly pension of NT$72,763. If he lives another 20 years, his total pension will amount to NT$17,463,120.
Therefore the DPP is wrong in claiming that Jiang stands to gain by leaving teaching for politics, because if he remains a professor for 30 years, his pension would be much higher than the NT$14.87 million the DPP alleges would be his for becoming a political appointee.
Cheng remarked that Premier Jiang Yi-huah had already resigned from his teaching post at the National Taiwan University, which indicated he was not motivated by higher pension or personal gain. "For a university professor to resign and forfeit his teaching pension, or to receive NT$2.59 million less in pension for coming to work for the government—this does not constitute 'fattening of the purse.'"
Furthermore, if Premier Jiang leaves his post at the end of his term in 2016, he will still not have enough years of service to qualify for retirement. "How can the DPP call this a self-serving move? This is clearly an unfounded accusation."
The spokesperson stressed that the government has never enacted reform to benefit certain individuals but to improve the entire system. Pension reform will inevitably affect many, but it must be implemented to ensure citizens' financial security in their old age. With Taiwan's population aging rapidly, the burden will fall heavier on future generations and the government must shoulder the responsibility for reforming the system. Cheng said she hoped the public and private sectors can work together to complete this monumental task.