Cutting Allowances for DPR Members and Ministers More Effective Amid Global Crisis
Public policy lecturer at Trisakti University, Trubus Herdiansyah, views the plan to cut salaries for DPR members and cabinet ministers as a necessary anticipatory step to maintain the country’s financial stability amid the global crisis.
According to Trubus, the policy should be applied comprehensively, not limited to central officials.
“Cuts should not only target central officials but also include BUMN directors and regional officials. Thus, this policy must apply across the board,” he told Media Indonesia on Tuesday (18/3).
He also encourages other methods to enhance APBN savings through structural efficiency by streamlining formations in various ministries and agencies.
“The number of ministries is currently quite large, so efficiency can be achieved by streamlining the organisation. This can be temporary and restored when conditions normalise,” he said.
Furthermore, Trubus believes the government needs to postpone non-priority programmes and focus on those with direct impact.
“Non-urgent programmes should be suspended. The government must focus on what is truly a priority and has a significant impact on the APBN,” he stated.
Regarding the cut scheme, he emphasises that trimming allowances is far more effective for savings than base salaries.
“Officials’ salaries are relatively small compared to the total APBN. Even if cut by 50%, the impact would not be very significant. Instead, allowances, which have large values, need to be trimmed,” he explained.
He added that high allowance components occur not only at the central level but also in the regions.
“The allowance component is much larger, both in the DPR, cabinet, and regional heads. So, the focus of cuts should be there,” he continued.
On the other hand, Trubus also highlighted the government’s plan to limit fuel subsidies. According to him, it is important to reform fuel subsidies to make them more targeted, which can be done based on vehicle engine capacity.
“Subsidies should only be given to those who truly need them, especially the poor and small business actors like online motorcycle taxi drivers,” he said.
For the cut scheme, Trubus proposes a progressive approach to make it more impactful. According to him, the higher the position and income, the larger the cut.
“This is more effective than uniform cuts,” he stated.