"Religion is philosophy as practiced by the masses"
I don't remotely disagree that Confucianism is a religion, it certainly is. But it's not like say socialism isn't a philosophy (or eugenics).
I disagree that they have the class interest of the devout, There aren't Confucian scholars attending to the local peasantry, they are in institutions of learning and the bureaucracy. They are the ones who benefit from appointed bureaucrats, they are the ones who would benefit from the massive bureaucracy needed to build institutions in china.
They are basically the quintessential intelligentsia, they just happened to be really really conservative. There isn't some other second group of bureaucrats and scholars in china in 1936.
I think they have to make a choice between fitting Qing China into the game they designed, or designing the game around Qing China.
While I agree they should benefit from appointed bureaucrats, I still think they have the ideologies of the devout and so should be devout.
You can employ them in bureaucracy simply by keeping the state religion, in which case gov admin offices will employ clergymen, devout Confucianists, not intelligentsia bureaucrats.
There wasn't a second group of scholars in 1936, and that's why they stagnated until they got occupied by Japan and until the new regime took over. I don't think it's wrong to lump the confucionists with the obsolete system that any reforming players will have to get rid of. That said I'm pretty sure you can get recognized and progress in tech as a Confucian Qing as well. The game already has religious education and clergy administration as an alternative modernization choice.