W Sumatra Spends 70 Pct of Revenue for Salary

Ilustrasi/Pegawai Negeri Sipil.
Sumber :
  • VIVAnews/Adri Irianto

VIVAnews – West Sumatra voiced concerns over the high expediture that the province must spend to pay civil servants' salaries. West Sumatra Deputy Governor, Muslim Kasim, said the salary spend dry up over 70 percent of the province's revenues. 

The province has a total turnover of Rp15 trillion coming from the Stated Budget and post-earthquake relief aid. It is feared that the huge spending may hamper the region's growth rate in the years to come.

“Around 70 percent of the total regional revenue is allocated for paying employees,” said Muslim on Monday, July 18.

West Sumatra targeted that the locally generated revenue (PAD) this year will reach Rp2.1 trillion, an increase from that of last year’s Rp1.7 trillion.

The sources of this revenue, according to the deputy governor, are regional tax and vehicle tax. The deputy governor signals the central government about the importance of civil servant moratorium in pursuit of effective budgeting.

The Domestic Affairs Ministry said earlier that the average expenditure of local employee salary that the general allocation funds (DAU) has to prepare took 57 percent of the portion. Some regions may even pull in 60 to 80 percent.

Despite the employee salary of 57 percent of the DAU, the aggregate employee salary expenditure compared to the total average of national expenditure reaches 39 percent.

VIVAnews earlier reported that the 2010 Regional Budget as of June 25, 2010, showed that two regencies in West Sumatra had the highest employee salary expenditure.

Tanah Datar Regency’s employee expenditure reached 74 percent, totalling to Rp378.914 billion. Meanwhile, this regency’s revenue totaled Rp511.476 billion and the locally generated revenue was only Rp35.402 billion.

Moreover, Solok gained Rp491.083 billion of revenue and locally generated revenue of Rp20.637 billion. The region's employee expenditure was Rp359.743 billion or 73 percent of the total revenue.

Verrell Bramasta Berharap Prabowo-Gibran Lebih Fokus Pada Kemajuan Anak Muda

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Coverage by: Eri Naldi | Padang

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Translated by: Indah Lestari 

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VIVA.co.id
25 April 2024