Indonesian Political, Business & Finance News

Parliamentary Legal Affairs Commission Calls Constitutional Court Ruling on Former Officials' Pensions an Opportunity for Reform

| Source: DETIK Translated from Indonesian | Legal
Parliamentary Legal Affairs Commission Calls Constitutional Court Ruling on Former Officials' Pensions an Opportunity for Reform
Image: DETIK

Ahmad Doli Kurnia, Deputy Chairman of the Golkar Party and Deputy Chair of the Parliamentary Legal Affairs Commission (Baleg), has expressed support for the Constitutional Court’s (MK) decision to partially grant a judicial review challenge against Law No. 12 of 1980, which governs pension payments for former state officials. Kurnia described the ruling as a positive development.

“First, we must of course respect the Constitutional Court’s decision, which is final and binding,” Kurnia told reporters on Tuesday, 17 March 2026. “Second, the decision is excellent because it requires adjustment of various regulations concerning the structure and institutions of the state, which we have not yet undertaken,” he added.

According to Kurnia, the ruling serves as an important reminder for legislators to update existing regulations. He expressed gratitude to both the petitioners and the Constitutional Court for their work.

“I am grateful to the petitioners and the Constitutional Court for this decision. The judicial review reminds us all that regulatory adjustments are necessary,” Kurnia stated.

The Member of Commission II in Parliament further noted that the revised legislation would also regulate pension payments and awards for state officials on a proportional basis. He assured that his body would implement the ruling.

“The legislative amendment will simultaneously address pension payments, awards, and other matters requiring proportional treatment. The message in the decision is sufficiently clear for us, as legislators, to use as a basis for determining policies related to state institutions and their financial entitlements,” he said. “Therefore, we will certainly follow up on the Constitutional Court’s decision by amending the law within a maximum of two years,” he added.

The Constitutional Court partially granted the judicial review challenge concerning pensions for former state officials, instructing legislators to amend Law No. 12 of 1980 on the Financial and Administrative Rights of Leaders and Members of the Highest and High State Institutions, as well as Former Leaders and Members of the Highest and High State Institutions.

Case No. 191/PUU-XXIII/2025, filed by Ahmad Sadzali and others, was delivered at the Constitutional Court building in Central Jakarta on Monday, 16 March 2026, and broadcast live on the Court’s YouTube channel. The petitioners challenged Articles 12(1) and (2), as well as Articles 16(1)(a), 17(1), 18(1)(a), and 19(1) and (2) of Law 12/1980.

In its ruling, the Constitutional Court stated that Law 12/1980 no longer conforms to current conditions. The Court determined that the law has lost relevance and must be preserved.

“Therefore, Law 12/1980 must be declared incompatible with the 1945 Constitution of the Republic of Indonesia and lacks binding legal force,” the Court stated.

The Constitutional Court said legislators must enact new legislation to address the pension issue and set a two-year deadline for this reform.

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