February 14, 2025 | 03:22 pm
TEMPO.CO, Jakarta - Finance Minister Sri Mulyani Indrawati affirmed that budget cuts instructed by President Prabowo Subianto would not lead to layoffs of contract workers in ministries/agencies.
"We ensure that the efficiency measures, in this case the reconstruction of ministry and agency budgets, will not affect contract employees," Sri said in a press conference held at the Parliament Complex, Senayan, Jakarta, on Friday, February 14, 2025.
The state treasurer explained that the government would further review the steps taken by ministries and agencies to follow up on Prabowo's budget efficiency directives. She emphasized that these measures would not impact funding for contract workers.
She also guaranteed that the budget efficiency measures would be carried out in accordance with Prabowo's instructions.
"We will continue to comply with the President's directive, which is providing good public service," Sri Mulyani said.
President Prabowo ordered budget cuts through Presidential Instruction (Inpres) Number 1 of 2025 concerning Expenditure Efficiency and the Implementation of the State Budget and Regional Budget for the 2025 Fiscal Year.
Signed on January 22, 2025, this instruction aims to save Rp306.7 trillion, including Rp256.1 trillion from ministry and agency budgets and Rp50.59 trillion from regional transfers.
Following this reduction, some ministries and agencies have laid off contract workers, including Radio Republik Indonesia (RRI) and the Public Broadcasting Institution (LPP) TVRI. However, both RRI and TVRI later confirmed that they would rehire the laid-off employees.
The two government-owned broadcasting agencies adjusted their budgets in accordance with President Prabowo's instructions.
"After this meeting, there will be no more furloughs or reductions in salaries and related issues for employees and contributors," said TVRI President Director Iman Brotoseno after a meeting with the House of Representatives (DPR) Commission VII at the Parliament Complex, Jakarta, on Wednesday, February 12, 2025.
RRI President Director Hendrasmo also stated that they would rehire furloughed employees. He mentioned that he had already issued the instructions right after the Ministry of Finance reduced the budget. "We have already sent the letter, so there are no more issues," he said.
Dede Leni Mardianti and Hendrik Yaputra contributed to the writing of this article.
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