House seeks higher salary increase for civil servants

The Jakarta Post, Jakarta

A number of factions in the House of Representatives (DPR) are seeking a higher salary increase for the country's civil servants, including military and police personnel, arguing that the 10 percent rise proposed by the government was inadequate to improve their welfare.

The military/police faction said, during a general overview of the 2003 state budget on Thursday, that the proposed 10 percent increase in civil servants' salaries would only offset inflation, which is expected to reach eight percent next year.

"A salary increase of ten percent will have little impact on welfare as inflation is expected to stand at eight percent (next year)," military/police faction spokesman Peter L.D. Wattimena was quoted by Antara as saying on Thursday.

The Golkar faction expressed a similar opinion, but at the same time urged the government to control inflation in 2003.

"That is why the Golkar faction is asking for an explanation from the government on its efforts to stem inflation (in 2003)," Golkar faction spokesman J.M. Nailiu said.

President Megawati unveiled the 2003 state budget last week, which raises civil servants' salaries by 10 percent beginning January 2003.

There are currently four million civil servants in Indonesia, including 2.1 million teachers.

State Minister of Administrative Reforms Feisal Tamin said earlier that the government was carefully considering a plan to lay off unproductive civil servants.

"Layoffs are possible. But we have to consider it carefully as on the one hand it would require a gigantic budget, and on the other it might add to the number of unemployed," Feisal was quoted as saying.

Citing the ever-increasing price of basic commodities, the Reform faction suggested that civil servants' salaries be increased by at least by 25 percent in 2003.

"We welcome the proposed rise, but an increase of merely 10 percent would have no impact on their (civil servants') welfare," Reform Faction spokesman Rizal Djalil said when presenting his faction's overview on the 2003 state budget.

The military/police faction also urged the government to revise the budget allocation for defense.

The government allocated Rp 18.7 trillion to the defense sector in 2003, of which Rp 13.4 trillion would be earmarked for salaries of security personnel, and the remaining Rp 5.3 trillion for maintenance and procurement.

"From the budget allocation point of view, the amount is relatively small compared with the actual need," Wattimena said, without elaborating.