The advisory body launched by the National Agricultural Cooperative Federation to craft a restructuring plan, the "NongHyup Reform Committee," focused on discussing ways to overhaul the election system for the federation chair in its first meeting this month, according to information confirmed on the 23rd. The judgment was that the election system needs to be revamped to disperse the heavy powers concentrated in the chair.
The National Agricultural Cooperative Federation has elected its chair since 1990 after its launch in 1961. The election system has changed twice since then. At first, heads of local cooperatives nationwide elected the chair, then a group of delegates—regional representative cooperative heads—used an indirect election, and later it reverted to election by cooperative heads. Incumbent Chair Kang Ho-dong was elected by a vote of cooperative heads in 2024.
◇ NongHyup reform committee zeroes in on whether to keep the "nationwide cooperative head voting system"
In its first official meeting on the 3rd, the committee discussed measures to improve the chair election system. Based on ChosunBiz reporting, Commissioners debated three broad options: ▲ keeping the current vote by cooperative heads ▲ maintaining the current system with partial supplements ▲ introducing new systems such as rotation among delegates or direct election by all members. A committee official said, "For now, the prevailing view was that the current election system should be changed."
◇ Since 1988, the law has specified "elected by vote" for the chair... the method has changed twice
In 1988, the government amended the Agricultural Cooperative Act to have some 1,100 heads of NongHyup cooperatives nationwide directly elect the chair. Until then, the administration appointed the chair. The term was four years, as it is now, but one consecutive term was allowed. As a result, four of the six former chairs, excluding the incumbent, served consecutive terms.
However, former and incumbent chairs were investigated for corruption crimes such as occupational embezzlement, bribery, and breach of trust, and allegations repeatedly surfaced of cash handouts and entertainment during the election process. In 2009, the government banned consecutive terms for the chair and introduced an indirect election by delegates to reduce the scale of the election. If a cooperative head is akin to a local government head, a delegate is akin to a member of the National Assembly, with 300 nationwide.
The indirect system that had been maintained for a little over 10 years reverted in 2024 to voting by cooperative heads. The change came amid criticism that the indirect system failed to sufficiently reflect members' opinions. The vote is held with cooperative heads gathered at the main auditorium of the National Agricultural Cooperative Federation in Seoul. A candidate who secures a majority in the first round is elected; if no one wins a majority, a runoff between the top two is held the same day. Chair Kang won in the second-round runoff.
◇ Every election brings vote-buying allegations to become the powerful "NongHyup president"... the current chair is also under investigation
Inside and outside NongHyup, there have been repeated notes that because the chair wields absolute influence over NongHyup's overall management, candidates try to win the election even by buying votes, and those elected have quietly continued so-called payback practices, such as channeling interest-free loans to cooperatives of supportive cooperative heads or sending favored individuals to executive posts at affiliates.
Former 5th Chair Kim Byung-won was indicted for illegal electioneering during the chair election and received a finalized fine of 1.5 million won. Chair Kang Ho-dong is also under police investigation on suspicion of receiving money and valuables from a NongHyup official during the election process.
Within the committee, alternatives reportedly included a full direct election in which all members vote, and a rotation system in which delegates take turns serving as chair. On the other hand, some reportedly said it has been only two years since the return to voting by cooperative heads and that more time is needed to observe the system. Critics also argued that a full direct election is physically impossible given that NongHyup has around 2 million members. As for the rotation system, concerns were reportedly raised that it could concentrate power in the hands of delegates.