The “Hidden Benefits" in the Communist System
The so-called hidden benefits for civil servants and state
enterprises in mainland China are often questioned by the public.
In particular, a recent article describing some of the facts
and data of benefits enjoyed by the cadres in form of wages,
housing, and salary without an actual job, has exposed
the hidden benefits within the Chinese Communist regime.
The hidden benefits of the civil service, state enterprises and
institutions are a major feature of the Chinese Communist regime.
China Economic Weekly reported recently the many sources
of hidden benefits, with finances being the main source.
It is paid out not in the form of salary or wage,
but in the name of supporting other projects.
What exactly do the hidden benefits entail?
The report listed embezzlement by ‘ghost payroll scheme’
(be paid without actually do the job), which was exposed this year.
Recently, 30 cadres age 50 and older in the Department
of Education of Wuxue City, Hubei Province,
were reported to have continued receiving a salary when
taking a back seat to allow younger ones to work.
In January, the daughter of the former county party secretary
of Jinle County, Shanxi Province, Yang Cunhu,
was reported to have received a total of 100,000 yuan
over 5 years for “in name only” employment.
In April, Procuratorate of Yinan County, Shandong Province,
conducted special investigations into several national staff who continued receiving salaries while serving jail sentences.
In addition, more than 2,100 people were found receiving
payment for employment existing in name only in Yulin City, Shaanxi Province, at end of July.
There is also welfare housing (for CCP officials)
at 1/8 of the market price in downtown Beijing,
equipped with cellular phones with monthly 500 yuan
free usage, and nursery with annual financial subsidy of tens of millions of dollars.
Liu Kaiming, director of the Institute of Contemporary Observation in Shenzhen,
indicates this common phenomena at all levels of the
government comes with great financial burden.
Director of the Institute of Contemporary Observation,
Liu Kaiming: “Take the agent base as an example.
It owns guest houses, treasury, and a canteen.
The cost is low in the agent base.
It’s very common for this type of nationally funded entity.
Everyone knows and criticizes it,
but no one can do anything about it."
The report also listed the hidden benefits exposed
at a grand scale in the end of June this year when Liu Jiayi,
auditor general of the National Audit Office, reported to the
National People’s Congress Standing Committee.
In his “Report on the 2011 Central Budget Implementation,"
nine units under the Chinese Academy of Sciences were
issued nearly a billion yuan of welfare in the name of a project.
The subordinate unit of the Ministry of Environmental
Protection misappropriated project funds of 850,000 yuan to the so-called meal allowance.
Ministry of Land and Resources misappropriated
project funds of 11.16 million yuan to subsidies.
Ministry of Industry and Information Technology issued
an allowance subsidy of 4.33 million yuan without reporting the budget.
Lan Shu, current affair commentator, says the hidden
benefits are in fact a concrete privilege and disguised corruption of the communist regime.
Commentator Lan Shu: “This stealth welfare is actually
a privilege that demonstrates the superiority of the Chinese Communist officials.
The distribution of benefits is a concrete manifestation
of this privilege. This is the nature of this invisible welfare.
This invisible welfare is actually a disguised form
Lan Shu points out that under the Chinese Communist
privileged system, the public cannot properly supervise authorities.
Therefore, the government agencies and party officials
could take advantage of many of the vulnerabilities
to transfer state assets through some form of conversion
to individual treasuries outside of the system.
In addition, according to the NetEase report on wages in 2011,
there were a total of 261 central enterprises and its listed subsidiaries.
The annual average wage of their active employees
was 102,965 yuan.
This figure was 2.4 times the annual average wage
of employees of “non-private entities" in town and county,
and 4.2 times the average wage of employees of
“private entities" in town and county.
Lan Shu comments that the Communist regime will keep
these central enterprises as a special interest group at all costs in order to continue its ruling and privilege.
He says these “invisible benefits" will continue as long
as the CCP regime exists.