Riigikogu discusses 'cooling off' period for senior officials moving to private sector

The Riigiikogu wants to bring in new restrictions on top public sector officials moving to the private sector, such as a "cooling off" period, and is preparing new legislation.
In recent years, around 20 senior national defense officials have moved from the public sector to the private sector. In March, for example, former head of the State Defense Investment Center Magnus-Valdemar Saar became the head of defense industry company Wolfram Europa.
Similar movement can also be seen in the energy sector, healthcare, forestry and elsewhere.
The Anti-Corruption Select Committee discussed the subject on Monday with representatives of the national defense sector.
"This has created a situation where, for example, people who only recently made various decisions regarding procurement or funding are now working at the same company about which they previously made decisions," said Anastassia Kovalenko-Kõlvart (Center), chair of the Riigikogu special committee.
The issue has also been highlighted by the Internal Security Service as a source of potential corruption.
"Even if we look at the practice of neighboring countries, a cooling-off period is generally customary, ranging from six months to as much as two years. In foreign countries, this period is generally unpaid. And which is more costly — this or the potential damage that may result from possible manipulation and the misuse of insider information?" Kovalenko-Kõlvart said.
While no problems have been observed so far, representatives of the defense sector support discussions on possible restrictions. However, they seek clarification on exactly what a cooling-off period would mean.
"Does this definition mean a blanket ban, where a person simply cannot work anywhere in the defense field or in a defense industry company, or are there specific duties performed by a person working in the defense industry where restrictions should apply? No such decision has been made at this point," said Maj. Gen. Viktor Kalnitski, deputy commander of the Defense Forces.
"People in the defense sector are experts in their field, and the presence of that expertise in the private sector is not inherently a bad thing — quite the opposite. It certainly helps develop our defense capabilities. At the same time, it must be ensured that conflicts of interest or violations of operational restrictions do not arise."
The Ministry of Defense is currently monitoring the matter independently to ensure that contracts within its area of administration are not concluded solely based on personal friendships.
Kovalenko-Kõlvart plans to present a draft bill regulating movement within the sector within the next couple of weeks.
--
Follow ERR News on Facebook and Twitter and never miss an update!
Editor: Helen Wright, Johanna Alvin
Source: Aktuaalne kaamera












