Key Facts from Constitutional Court Ruling on Pension Benefits for Former State Officials
The Constitutional Court has granted a partial lawsuit from citizens concerning pension benefits for former state officials. The Court declared Law No. 12 of 1980, which regulates pension rights for senior state officials, conditionally unconstitutional.
Key Facts Regarding the Constitutional Court Ruling:
- The Constitutional Court has ordered the House of Representatives to immediately revise the law
The Court stated that the law no longer has legal force unless replaced with new legislation within a maximum of two years. This ruling therefore requires the House of Representatives to revise the regulation.
- If not revised promptly, the law regulating pension rights for House members will no longer apply
The Constitutional Court also stated that the law on financial rights, which also regulates House members’ pension entitlements, will no longer apply. “In the event that no replacement occurs after the two-year period expires, Law No. 12 of 1980 becomes contrary to the 1945 Constitution and will have no binding legal force permanently,” said Constitutional Court Chief Suhartoyo when reading the ruling in the Court’s Plenary Session room in Jakarta on Monday, 16 March 2026.
The order is the Constitutional Court’s decision in case No. 191/PUU-XXIII/2025, filed by Ahmad Sadzali and others. The petitioners challenged several provisions within Law No. 12 of 1980 concerning Financial and Administrative Rights of Leaders and Members of State Institutions, as well as Former Leaders and Members of State Institutions.
The challenged provisions include Article 12 paragraphs (1) and (2) as well as Article 16 paragraph (1) a, Article 17 paragraph (1), Article 18 paragraph (1) a, and Articles 19 paragraphs (1) and (2) of Law 12/1980. One such provision regulates pension entitlements for House and People’s Consultative Assembly members.
- The Constitutional Court states the regulation no longer suits current conditions
According to the Court, the law no longer accords with current circumstances. Suhartoyo stated that Law 12/1980 has lost relevance for retention. Therefore, the Court is requesting the House to revise and adapt the regulation to the country’s present situation.
- The House of Representatives will coordinate with the government
Deputy Chairman of the House’s Legislation Body Martin Manurung said he will soon communicate with the government following the Constitutional Court’s ruling on the pension law for former officials. “The timeframe is two years. Perhaps after Eid we will coordinate with the Justice Minister,” Martin said on Tuesday, 17 March 2026.
According to Martin, revision of Law No. 12 of 1980 can proceed through an open cumulative mechanism, allowing deliberation even outside the 2026 National Legislative Programme list. Martin stated this accords with Article 23 paragraph 2 of Law No. 15 of 2019 on the Formation of Laws and Regulations.