Sunday, August 20, 2006

Indonesian Bureaucracy is going crazy

Has been known as one of the major weaknesses, the rotten condition of Indonesia bureaucracy, unfortunately, has never been seriously reformed. Many discuss it, other talks about it, then they forget about it.

One of the main problems is the wage rate. As one of important macroeconomics variables, wage rage has never been treated properly in planning and budgeting process. Not only for macroeconomics purposes, but also on the street.

The wage rate of blue collar workers is very low compared to the need for a living. Yet, we do have some minimum rate, but it's fake. Can you imagine this? I found out in one contract under the World Bank loan, the local driver is only paid (contractual basis) Rp 900.000.0 (US$100.0)per month, while the expats and also local get international standard man month. This is what I name as "kebiadaban" (no proper translation!).

What about the officers? The highest rank officer basic salary reach Rp 2.000.000.0 (US$220.0). Then, you got the answer. They are got many other very uncertain additional dollars.

"You pay peanut, you'll get monkey!" I bet!

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