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Jakarta, CNBC Indonesia – President Joko Widodo (Jokowi) signed regulations regarding wages and benefits for government employees with a contract of employment (PPPK). With this, tens of thousands of PPPK can breathe a sigh of relief.
This was stated by the Minister of Administrative Reform and Bureaucratic Reform, Tjahjo Kumolo, during a conversation with CNBC Indonesia, on Wednesday (9/30/2020). Tjahjo said the regulation was waiting to be enacted.
“It only remains to be promulgated and announced,” Tjahjo said when confirmed.
Discussions on the Draft Presidential Regulations (Perpres) regarding PPPK salaries and benefits have been discussed for a long time. Approximately 51 thousand honorary officials who have passed the PPPK selection are awaiting the issuance of this regulation.
KemenPANRB has previously explained exhaustively the development of these regulations.
Initially, PPPK’s salaries and benefits were the same as those of public servants (PNS), including TNI and Polri. However, the authority of the state apparatus proposes to provide higher salaries and allowances to PPPK.
“Various solution alternatives are offered so that the standard amount of salaries and bonuses that PPPK receives is the same as that of the salaries and bonuses of public officials. Therefore, it is chosen to provide a salary amount different from the amount of the basic salary of civil servants, “he said.
One of the policy considerations refers to Government Regulation (PP) 80/2010 regarding withholding rates and the imposition of article 21 of income tax on income by the APBN and the APBD.
The PP explains that article 21 of the PPh for officials, members of TNI and Polri, which is declared in ordinary and regular income each month, is borne by the APBN and APBD.
However, the PP is not explained in detail regarding the PPPK. Therefore, this will reduce the PPPK salary and benefits that should be received equal to the salary of public servants.
In other words, the issuance of this regulation will further clarify the revenue that PPPK receives. While PPPK’s salary and benefits will be designed to be higher than PNS, in the end the income PPPK will receive will be the same as PNS because it is tax deductible.
[Gambas:Video CNBC]
(DRH / DRH)
