BI chiefs seek Rp 2.5b a year<\/p>\n
Tony Hotland, The Jakarta Post, Jakarta<\/p>\n
The board of governors of Bank Indonesia has submitted a proposal
\ncalling for each of its eight members to receive an annual salary
\nof over Rp 2.5 billion (US$272,296).<\/p>\n
The proposal calls for the central bank's governor, senior
\ndeputy governor and six deputy governors each to receive a
\nmonthly pay package of between Rp 107.29 million and Rp 141.32
\nmillion.<\/p>\n
This monthly pay package is comprised of a basic salary,
\ncontingency allowance, performance allowance and an unspecified
\nallowance.<\/p>\n
Under the proposal, each board member would also three
\nincentive bonuses a year, an Idul Fitri bonus and a Christmas
\nbonus, two annual leave bonuses, in addition to other benefits.<\/p>\n
In total, the eight board members would receive 19 payments a
\nyear, totaling up to Rp 2.69 billion.<\/p>\n
The proposal was submitted to House of Representatives
\nCommission XI for finance last month and is currently being
\ndeliberated. A decision on the matter is expected by Thursday.<\/p>\n
The pay proposal is contained in one of the eight documents
\nsubmitted by the central bank, collectively titled Work Programs
\nand Budget in 2006 of the Central Office, by Bank Indonesia to
\nHouse of Representatives Commission XI. The documents were seen
\nby The Jakarta Post on Monday. BI deputy governor Maman
\nSoemantri, who discussed the proposal with lawmakers, could not
\nbe reached for comment.<\/p>\n
Commission member Harry Azhar Azis of the Golkar Party said
\nthe pay proposal was inappropriate amid the financial hardships
\nfaced by the country.<\/p>\n
Harry said this was the first time the central bank had to
\nconsult the House on pay for officials and employees, a
\nconsequence of the newly amended Law No. 3\/2004 on Bank
\nIndonesia.<\/p>\n
In previous years, the central bank was able to determine its
\nown pay for officials. The bank's website, however, does not
\ncontain any information on the current salaries of the board of
\ngovernors.<\/p>\n
Article 60(3) of the amended Bank Indonesia law says the
\ncentral bank must submit its proposed operational expenses for
\nthe year to the House for approval.<\/p>\n
Previously, the bank consulted with the House only on issues
\nrelated to policy.<\/p>\n
Harry said the pay proposal raised questions about whether
\nstate officials should be so generously compensated while the
\nstate was facing funding shortages for many programs.<\/p>\n
He also said state officials at the same basic level should
\nreceive pay packages that were similar.<\/p>\n
\"If you compare this (proposal) with the salaries of the
\nPresident or Vice President, it is clear the BI officials
\nwould receive so much more money while not having the same level
\nof responsibility as, for example, the President.<\/p>\n
\"Even the President and the Vice President were harshly
\ncriticized when it was proposed that their salaries be increased,
\nand that was a much smaller increase than for BI. I think it
\nwould be wise for them (BI governors) to give this more thought
\nand consider whether this would be fair,\" he said.<\/p>\n
The President receives a monthly salary of about Rp 62 million
\nand the Vice President of about Rp 57 million.<\/p>\n
The House and the central bank are scheduled to meet on
\nTuesday for further talks on the pay proposal.<\/p>",
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