President Prabowo Subianto recently made a bold decision to eliminate the bonus scheme, known as tantiem, for commissioners and directors of state-owned enterprises (SOEs) that are experiencing losses. He expressed his concerns over the absurd practices observed in awarding tantiem bonuses to SOE executives. During the presentation of the 2026 State Budget Bill, Prabowo highlighted instances where commissioners attended meetings once a month but received hefty tantiem payments of up to Rp 40 billion annually. This led him to abolish the tantiem system and ensure that directors do not receive bonuses if the company is not making real profits. He emphasized the need for transparency and accountability in managing public funds, stating that wasteful spending should be eliminated to maximize the benefits for the people. Additionally, Prabowo addressed the issue of excessive commissioners in some loss-making SOEs and announced a reduction in the number of commissioners to improve efficiency and governance. By prioritizing responsible spending and efficient management, Prabowo aims to strengthen public services and stimulate economic growth for the benefit of the Indonesian people.
