Kemendagri urges regions not to fire PPPK despite TKD cuts
The central government is mapping the hardest-hit regions and weighing extra TKD for areas that cannot cover salaries.
The Home Affairs Ministry has asked regional governments struggling to pay employees, especially PPPK, not to resort to layoffs after transfer funds to the regions, or TKD, were cut. Deputy Home Affairs Minister Bima Arya Sugiarto said local leaders should first review fiscal capacity and tighten spending, then contact the central government if the situation is urgent. Several regions had earlier said they were under pressure after the 2026 TKD allocation fell about 24,7 percent from the previous year. In a meeting with the House of Representatives, Home Affairs Minister Tito Karnavian also rejected the option of furloughing ASN and urged savings on items such as travel, meetings and meals. The central government is now mapping the most affected regions while discussing solutions with the Finance Ministry and Commission II of the House of Representatives.