Mon, 31 May 2004

Govt to pay out 13th salary

The Jakarta Post, Jakarta

House of Representatives legislators and officials of other high state institutions will join active and retired civil servants and members of the Indonesian Military and National Police in receiving their extra month's salary and pension payments.

State Minister of Administrative Reforms Feisal Tamin told reporters on Saturday the government had allocated Rp 7.098 trillion (US$771.5 million) for the extra salary and pension payments, which will be paid along with June salaries and pensions.

There are around 3.6 million civil servants and 1.2 million pensioners, plus 500,000 military and police personnel.

Feisal said President Megawati Soekarnoputri had signed a government regulation on the payment of the extra month's salary and pension.

The minister, however, brushed aside a possible link between the government decision and the upcoming presidential election on July 5.

"The government hopes that the extra month's salary payment will be used to pay the entrance fees of civil servants' children who go on to higher education this year," Feisal was quoted by Antara as saying.

He said the extra month's salary had been proposed by the President in her state address on the 2004 State Budget in the House in August last year. The government rejected at that time a proposal to raise the salaries of state officials and civil servants.

Megawati and Hasyim Muzadi, the chairman of the country's largest Muslim organization, Nahdlatul Ulama, will contest the country's first direct presidential election on July 5 under the banner of the Indonesian Democratic Party of Struggle.

Under the New Order, civil servants were forced to vote for the ruling party, Golkar, paving the way for successive victories by its chief patron, Soeharto.

Feisal said the government regulation covered members of the People's Consultative Assembly, Supreme Court chief justice and justices, Constitutional Court judges and Supreme Audit Board members.

The monthly basic salaries of civil servants, and military and police personnel range between Rp 600,000 and Rp 1,9 million, in sharp contrast to lawmakers who earn around Rp 14 million per month.

Low pay has been blamed for the widespread corruption in the country's bureaucracy and law enforcement institutions.

During a hearing with the House on Wednesday, Feisal said the government would increase the basic salaries of civil servants, military and police personnel, and pensioners.

He said the allowances for police officers had also been increased, while the President was currently studying a proposed rise in the allowances extended to judges.