Can PPPK Be Dismissed? MenpanRB Explains the Conditions
Minister for State Apparatus Utilization and Bureaucratic Reform Rini Widyantini stated that Government Employees with Work Agreements (PPPK) must not be dismissed if their contracts have not yet expired.
“Essentially, PPPK cannot be terminated or dismissed before their contract ends,” said Rini during a working meeting with Commission II of the House of Representatives (DPR RI) at the parliamentary complex in Senayan, Jakarta, on Tuesday (31/3).
Rini conveyed this in response to questions from Commission II members regarding issues of local governments planning to terminate PPPK due to budget limitations, following the implementation of the personnel spending scheme capped at a maximum of 30 percent of the Regional Budget (APBD) starting January 2027.
She explained that the basis for appointing PPPK is to ensure the continuity of public services. Government agencies have also submitted Absolute Responsibility Statements (SPTJM) when appointing PPPK.
“Once they become civil servants (ASN), we must provide protection to those ASN,” she said.
Regarding the local personnel spending scheme capped at 30 percent of APBD as regulated in Law Number 1 of 2022 on Financial Relations between the Central Government and Regional Governments (UU HKPD) and the reduction in transfer funds to regions (TKD), Rini acknowledged that adjustments are indeed necessary.
Rini stated that her ministry will conduct intensive discussions with the Minister of Home Affairs, noting that Article 146 paragraph (3) of the UU HKPD allows for adjustments to the percentage of regional personnel spending based on a ministerial decision.
“Whether the UU HKPD timeline will be extended or there will be other interventions, I do not know,” said Rini.
Previously, Minister of Home Affairs Tito Karnavian urged local governments to implement efficiency measures and creatively seek additional revenue to prevent the termination of PPPK employment.
Tito, when met after a meeting with Commission II of the DPR RI at the parliamentary complex in Senayan, Jakarta, on Monday (30/3), said that Article 146 paragraph (3) of the UU HKPD allows for adjustments, but such adjustments are a last resort.
The Ministry of Home Affairs will first monitor the capabilities of local governments and the Minister of Home Affairs will also deploy teams to the regions.
“Do not expect these last-resort solutions yet. Do not head in that direction before trying. We also want to see which regional heads are capable. There are regional heads who might give up immediately. Let the people decide why they elected them; they are not creative,” he said.
Local governments (pemda) are urged to implement efficiency and breakthroughs in regional revenue to prevent PPPK layoffs.
The cap on personnel spending at a maximum of 30% of APBD, as regulated in central-regional financial regulations, loses relevance when not matched with adequate fiscal support.
The Bandung City Government (Pemkot) has reaffirmed its commitment to retaining all part-time PPPK personnel.
The central government’s cap on personnel spending at a maximum of 30 percent of APBD in 2027 will impact thousands of part-time PPPK at risk of layoffs.
Between policy goodwill and structural limitations. At this point, the welfare of non-ASN teachers becomes a mirror of how the state manages its own responsibilities.