Pay increase aimed at stemming low productivity

Rendi A. Witular, The Jakarta Post, Jakarta

Vice President Jusuf Kalla reiterated on Thursday that efforts to improve the welfare of civil servants could not be put off any longer as the country's bureaucracy and governance were suffering.

"We have not increased the salaries of civil servants for three years now. Their salary is actually declining, if higher inflationary pressure is considered.

"If there is no adjustment, we fear that their productivity will decline," said Kalla at his office.

The government and the House of Representatives are discussing plans to raise the take-home pay of the country's six million civil servants, as well as 500,000 soldiers and 125,000 police officers starting next year.

The increase would be in the range of 30 percent for first- and second-level workers, 15 percent for third- and fourth-level workers and 7 percent for first echelon officials such as the directors general of ministries.

Kalla said civil servants had for some time been cheating the public to make extra money. However, opportunities for seeking extra cash were fewer following the government's intensive anticorruption crackdown.

"In previous years, civil servants could cope on their low incomes through corruption. But today, they are no longer free to continue with those practices. Therefore, we should immediately raise their incomes to maintain their productivity," he said.

Meanwhile, House speaker Agung Laksono said legislators would support the government's plan to raise civil servants' salaries.

"We will support the plan. This is an important policy to keep the bureaucracy running and at the same time reduce corruption," said Agung in a joint press conference with Kalla.

Regarding requests from lawmakers for an increase in their take-home pay, Agung said that the requests were understandable since their pay was too little for carrying out such a "strategic" function.

"Legislators are not asking for their basic salaries to be raised, but more their daily operational allowances," said Agung.

House members have requested an additional Rp 15 million (US$1,560) a month for their operational allowance, deputy speakers Rp 22 million and the speaker Rp 30 million for unspecified "operational work".

The House speaker receives a basic monthly salary of Rp 14.6 million, while all other members receive Rp 8 million.