Pay increases considered for state officials
Pay increases considered for state officials
Rendi A. Witular, The Jakarta Post, Jakarta
The government says it is considering increasing the take-home
pay of the president, vice president, ministers and several other
high-ranking state officials starting next year, as part of
attempts to improve their services and devotion to the public.
The move is part of the government's wider plan to improve
working conditions of civil servants, soldiers and police
officers, many of whom, if not most, are living on incomes below
the minimum regional wage (UMR) set out for workers in the
private sector.
If the plan materializes, it will be the first pay rise since
2003.
The pay increase for the president, vice president and
ministers will be around 5 percent, State Minister for
Administrative Reforms Taufik Effendy said on Tuesday after a
ceremony at the Presidential Palace.
"We are presently calculating a rational income for not only
civil servants but also for the president and ministers. The
increase here is not for their basic salary but for their take-
home pay. If it was based on basic salary (the rise) would be too
small," said Taufik.
The president's monthly basic salary is now Rp 26.7 million
(about US$2,750). However, with other allowances, he could take
home nearly Rp 50 million per month.
On the other hand, the vice president's basic salary stands at
Rp 22 million, with take-home pay of about Rp 40 million.
A minister's basic salary is Rp 12.6 million. If other
allowances are included, he or she can receive a take-home pay of
around Rp 20.5 million.
Apart from basic salary and allowances, all government
officials receive facilities such as an official house, car and
other payments to enable them to conduct official business.
While the plan is currently being discussed with the House of
Representatives for approval, Taufik, however, said the main
priority would be pay rises for lower-ranking civil servants,
soldiers, police officers, teachers and nurses and doctors.
At present, there are about six million civil servants, plus
500,000 soldiers and 125,000 police personnel.
According to Taufik, first- and second-level civil servants
will receive a 30 percent increase in their take-home pay, while
third- and fourth-level workers will have a 15 percent rise.
As for first echelon officials, such as director generals in
ministries, their income will be increased by up to 7 percent.
"The amount of the proposed rises will depend on the condition
of the budget and the approval of the House. It should be raised
in any way in order to improve their services to the public as
well as reducing corruption," said Taufik.
Taufik, however, refused to disclose the amount of funds in
the state budget needed for the pay rises.
In the 2005 state budget, the government allocated Rp 34.6
trillion for salaries and allowances of civil servants, police
and military personnel, as well as pensioners.
The allocation is only 1 percent higher compared to that
allocated in the 2004 budget.
Low wages have been blamed for widespread corruption practices
in the country's bureaucracy and law enforcement institutions, as
well as for the low productivity and professionalism within the
civil service.