Government to Consolidate Payroll into Operating Expenses for Government-Funded Research Institutes from 2027... Full-Scale Implementation of PBS Abolition

New Government Commissions to Be Principally Restricted;
Mission-Based Research System for National Priorities to Be Established

Improved Researcher Treatment Also Under Review
"Government-Funded Institutes to Reemerge as Leading National Research Institutions"

The government has announced that, starting in 2027, payroll expenses for researchers at government-funded research institutes will be consolidated into institutional operating expenses, following the abolition of the Project-Based System (PBS). This change aims to allow researchers to focus on their work in a stable environment. While competition to secure research projects for payroll funding will be eliminated, new government-commissioned projects will, in principle, be restricted. Instead, the institutes will transition to a mission-based research system focused on national strategic technologies.

The Ministry of Science and ICT stated on the 25th that, at the 10th Science and Technology Ministers' Meeting, it had reviewed and approved the "Progress on PBS Abolition and Future Advancement Measures."

Baek Kwang-hoon, Deputy Prime Minister and Minister of Science and ICT, attended the Science and Technology Ministers' Meeting held in April at the Government Complex Seoul in Jongno-gu, Seoul, and spoke on current issues such as the direction of data policy in the era of AI transformation. Photo by Cho Yong-jun

The government has been pursuing the abolition of PBS in accordance with the "Policy Direction for Government-Funded Research Institutes in Science and Technology" announced in December last year. The core of this initiative is to eliminate the structure in which researchers had to secure external projects for payroll funding, instead providing full payroll support through institutional subsidies. This plan is designed to allow researchers to concentrate on research needed at the national level, and to shift the institutes to a system conducting strategy-driven projects led by the institutions themselves.

Payroll Expenses Unified as Operating Expenses from 2027

Starting in 2027, the government will integrate the current payroll expense structure—which is divided between institutional operating expenses and strategic research projects within institutional subsidies—into a single category under operating expenses. Since researchers' salaries will be fully funded through institutional subsidies and ongoing projects, new government-commissioned projects will, in principle, be restricted.

However, exceptions will be made in cases where participation by government-funded institutes is essential to the purpose of the project, and the specific criteria for such exceptions will be established within this year. The government also plans to consider measures to improve the treatment of researchers at government-funded institutes, with the aim of attracting top talent and ensuring a stable research environment.

To foster these institutes as hubs for national strategic technology, the government will redefine each institution’s national mission and establish five-year research and development (R&D) portfolios. The research system will be restructured by linking basic research, strategic research, and commissioned projects. In addition, a comprehensive management system will be established, covering the entire cycle—from the planning and evaluation to the performance management of strategic research projects.

Institutional reforms will also be pursued to ensure the successful implementation of the new research system after the abolition of PBS. The government plans to fully revise the Act on Government-Funded Science and Technology Institutes, and to strengthen innovation and ethical management at the National Research Council of Science and Technology (NST), thereby expanding the autonomy of government-funded institutes while also increasing their accountability.

At the Science and Technology Ministers' Meeting on this day, Paik Kyunghun, Deputy Prime Minister and Minister of Science and ICT, stated, "Technology is the core foundation that determines national security, the economy, and the quality of life for our citizens." He added, "We will establish a virtuous cycle where R&D results are reinvested, and at the same time pursue both the acquisition of technological sovereignty and international cooperation."

This content was produced with the assistance of AI translation services.