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Govt urged to announce new wage system for civil servants

| Source: JP

Govt urged to announce new wage system for civil servants

JAKARTA (JP): The House of Representatives' budget committee
on Wednesday called on the government to officially announce its
new policy on the new remuneration system for civil servants and
servicemen to avoid further confusion.

"Many are confused with recent reports that the government
will raise the wages of civil servants and servicemen in the next
fiscal year. Media reports are misleading since the government
has yet to announce the new remuneration system," Aberson Marle
Sihaloho, a member of the budget committee, told The Jakarta Post
here on Wednesday.

He said the budget committee and the government had reached an
agreement in February to reform the structure of civil servants'
salaries and to make adjustments according to the consumer price
index and inflation.

"The wage structure, comprising of basic salaries and
allowances, has been simplified into gross salaries as take home
pay. This simplification will be a reference point for the
determination of civil servants' payroll for their pension fund
program. And, then, the level of civil servants' wages will be
adjusted to the inflation rate," he said.

Aberson, a legislator with the Indonesian Democratic Party of
Struggle (PDI Perjuangan), said that consistent with the new
policy, the government has twice raised civil servants' salaries
during the nine-month 2000 fiscal year.

"As of April 1, 2000, the gross salary of the lowest-rank (IA)
civil servants with minimal experience was raised to Rp 438,000
from Rp 70,000 while the wage of teachers in the state-run
education institution and nurses in state hospitals and clinics
was raised to Rp 538,000 from Rp 70,000," he said.

He added that the agreement on the new remuneration system for
civil servants was agreed upon when the House and the government
deliberated the 2000 draft state budget in February.

He said that another adjustment was made on Oct.1, 2000 when
the government further raised the civil servants' wages by around
10 percent.

"The gross wage of lowest-rank civil servants with little work
experience was raised from Rp 438,000 to Rp 530,000 while that of
lowest-rank teachers and medical staff was increased from Rp
538,000 to Rp 650,000," he said.

Police

According to Aberson the House's budget committee and the
finance minister have also agreed with a remuneration package to
raise the wages of law enforcers; including Police, prosecutors
and justices, in order to prevent them from abusing their power
and from committing corruption.

"Law enforcers deserve better payment for their service and
this would further encourage them to comply with their respective
code of ethics," he said.

Ferry Mursidan Baldan, deputy chairman of the House's
Commission II on legal and home affairs, hailed the new
remuneration system as a way to reduce to a minimum the corrupt
practices within the bureaucracy.

"With the new remuneration system...their productivity or
their service to the public will be improved. Stiffer sanctions
must imposed against corrupt officers and officials," he said.

Meanwhile, Jacob Nuwa Wea, a member of the House's Commission
VII on labor and social welfare, called on the House and the
government to combine fiscal and monetary policies to help
improve the workers' wage level.

"The government can put aside a part of the taxes collected
from employers, and return it as a subsidy to employers so as to
enable them to increase their workers' wages," he said, citing
that with the new remuneration policy, the wage level in the
bureaucracy was higher than the monthly minimum wage (UMR) in the
private sector.(rms)

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