A wave of threats of termination of employment contracts for\nGovernment Employees with Work Agreements (PPPK) in the regions is\nbeginning to feel real. Several areas, such as East Nusa Tenggara and\nWest Sulawesi, are reportedly facing serious pressure due to fiscal\npolicies deemed out of sync between the central and regional\ngovernments.<\/p>\n
IPDN Professor Djohermansyah Djohan views the issue not merely as a\ntechnical budget matter, but as the impact of broader policies. He\nassesses that the limitation on personnel spending to a maximum of 30%\nof the Regional Budget (APBD), as regulated in central-regional\nfinancial rules, loses relevance when not matched with adequate fiscal\nsupport.<\/p>\n
\u201cThis is a promise that has not been kept. The regions have already\nproceeded with recruitment, but without funding support,\u201d he stated in\nhis comments on Sunday (29\/3).<\/p>\n
Conceptually, the personnel spending limit aims to provide\ndevelopment space for regions. However, according to Djohermansyah, its\nimplementation clashes with field realities. From 2025 to 2026,\ntransfers to regions are said to experience significant cuts, disrupting\nplanning that had been prepared since the 2022 transition period.<\/p>\n
As a result, regions with low fiscal capacity face a dilemma:\nretaining employees or maintaining budget balance. In this situation,\nPPPK become the most vulnerable group affected.<\/p>\n
In fact, the PPPK scheme was initially designed as a solution to\neliminate honorary workers, even accompanied by promises of central\nfunding support. In reality, the salary burden has been shifted to the\nAPBD at a time when regional fiscal capacity is weakening.<\/p>\n
The impact of potential layoffs does not stop at increasing\nunemployment figures. Vital sectors such as education and health are\nalso threatened, given that many PPPK fill strategic positions as\nteachers, medical personnel, and technical staff.<\/p>\n
If reductions occur on a wide scale, the quality of public services\nrisks declining, public access to basic services could be limited, and\nseveral regional programmes may halt. In the long term, this condition\nis feared to widen inter-regional disparities.<\/p>\n
Djohermansyah also highlights the direction of state spending\npolicies. He believes the government needs to reorganise priorities amid\nfiscal pressures, especially by placing employee salaries and public\nservices as primary needs.<\/p>\n
\u201cIn difficult situations, the state must determine priorities. The\nmain ones are employee salaries and public services. Other programmes\ncan be postponed or scaled down,\u201d he said.<\/p>\n
He assesses that several major programmes should be reviewed if they\npotentially disrupt the state\u2019s basic obligations. Without corrective\nsteps, the risks that arise are not only for the regions but also for\noverall fiscal stability.<\/p>\n
On the other hand, Djohermansyah highlights the irony faced by\nhonorary workers who were recently appointed as PPPK but are now\nthreatened with job loss. Meanwhile, new programmes that open\nrecruitment in a short time continue to run.<\/p>\n
\u201cThis contradicts the principle of justice. Those who have served for\na long time are sidelined,\u201d he said.<\/p>\n
As a way out, Djohermansyah encourages a review of regional transfer\npolicies to make them more proportional, especially for areas with low\noriginal regional revenue. He also reminds of the importance of stopping\na uniform approach in national policies that directly impacts the\nregions.<\/p>\n
According to him, without a change in direction, the impacts that\nemerge could spread, from increasing PPPK layoffs, declining public\nservices, to increasingly sharp social inequalities.<\/p>\n
\u201cIf this continues to be enforced, we are actually moving away from\nthe goal of improving public welfare,\u201d he concluded.<\/p>\n
The central government's limitation on personnel spending to a\nmaximum of 30% of the APBD in 2027 will impact thousands of part-time\nPPPK at risk of layoffs.<\/p>\n
The Bandung City Government (Pemkot) reaffirms its commitment to\nretaining all part-time government employees with work agreements\n(PPPK).<\/p>\n
There is a gap between good policy intentions and structural\nlimitations. At this point, the welfare of non-civil servant teachers\nbecomes a mirror of how the state manages its own responsibilities.<\/p>\n
The Bekasi Regency Government allocates a budget of Rp176 billion for\nIdul Fitri Bonus (THR) payments to civil servants (ASN) and PPPK ahead\nof Eid al-Fitr 2026.<\/p>\n
The Governor of NTT, Emanuel Melkiades Laka Lena, reveals the\npotential for serious impacts on around 9,000 Government Employees with\nWork Agreements (PPPK) within the scope of the NTT Provincial\nGovernment.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/fiscal-mismatch-threatens-pppk-layoffs-in-regions-1774799479", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }