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View all search resultsRegions mull remote work, halting programs ahead of 2026 central funding cuts
The government has allocated just Rp 693 trillion for regional transfers next year, leaving local leaders scrambling to come up with austerity measures to reduce administrative costs, including remote work and virtual meetings.
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Governors-elect, regents-elects and their deputies attend a gathering in Merdeka Square, Central Jakarta, prior to marching together to the State Palace to attend the first-ever mass inauguration ceremony on Feb. 20, 2025, when President Prabowo Subianto installed 961 regional heads. (Antara/Bayu Pratama S.)
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everal regional administrations have unveiled austerity measures, including reduced workdays and remote work policies for civil servants, following the central government’s decision to cut regional transfers (TKD) for fiscal year 2026.
One of these is the Bengkulu provincial administration, which is considering cutting civil servant allowances and reducing the standard five-day workweek to just three or four days, among other measures.
“This is part of our efforts to reduce spending on water, electricity, office supplies and other operational costs. We’re also planning to halt programs that don’t directly benefit the public,” acting Bengkulu secretary Herwan Antoni said on Monday, as quoted by Kompas.com.
Bengkulu is set to see its TKD next year cut by nearly Rp 348 billion (US$21 million) for a total allocation of Rp 1.40 trillion, from Rp 1.75 trillion this year.
West Java Governor Dedi Mulyadi is also exploring remote work policies and trimming the province’s civil service budget to cope with a projected Rp 2.46 trillion cut to its TKD allocation.
"We will not discontinue any programs, despite the budget cuts,” Dedi said.
“The reductions will mainly focus on administrative expenses, including [for] office supplies, building maintenance, official trips, as well as meals, beverages and transportation for civil servants," he said.
