1. Introduction

In Human Resource Management, compensation is a fulfillment of the rights that must be received by workers/employees. The granting of compensation often raises problems if it is deemed unsatisfactory by the recipient, which is generally measured by an imbalance in the amount of compensation with workload. For that, Human Resource Management needs to design compensation that is able to bring satisfaction to the organization and to employees as members of the organization.

Providing compensation for employees in a public organization environment is certainly different from giving compensation to employees in a private/business organization environment, because the orientation of public organizations does not lie in the acquisition of profits, but the fulfillment of public services that demand volunteerism in performance related to the role of civil servants as public servants. Therefore compensation in the environment of public organizations requires an element of justice to achieve effectiveness. In public organizations, failure to uphold a competitive salary in law and the existence of policies that appear in the name of political interests will be difficult to strengthen confidence in democratization or to ensure increased work productivity of employees [1].

In the context of Bureaucratic Reform, remuneration is the realignment of the payroll system that is linked to the performance appraisal system. Remuneration appears as a solution to the corruption issues that afflict a number of civil servants and officials in the bureaucratic environment so that it is the government’s commitment to realize clean and good governance. Remuneration becomes a performance measurement tool as a consequence of better employee performance outcomes. Remuneration becomes an instrument to bring up the motivation of employees to produce really good performance and service quality. By obtaining appropriate compensation, employees are no longer considered to think of other “channels” for obtaining other financial benefits, which are feared to be carried out through means for “channels” that violate applicable regulations or contain Corruption, Collusion and Nepotism. In other words, each employee is expected to have maximum immunity to the potential for Corruption, Collusion and Nepotism.

Remuneration policy in Indonesia is for all civil servants in all government institutions, which based on their urgency are grouped according to priority scale into three groups: 1) All law enforcement agencies, groups of state financial managers, groups of auditors and state financiers and supervisors of government apparatus country, 2) Ministries/institutions related to economic activities, production systems, sources of state revenue-producing and organizational units that serve the community directly including the Regional Government, 3) All ministries/institutions that are not included in the first and second priorities [2,3].

Besides being considered able to overcome the problem of the practice of Corruption, Collusion and Nepotism in the environment of public organizations, remuneration policies are also considered to improve the quality of public services by the public service providers, because theoretically, the provision of compensation has an influence on improving employee performance where if employee performance increases the quality of service will also increase.

McCloy, Campbell and Cuedeck [4] state that employee performance depends on three main factors, namely skill, knowledge and motivation. The formation of employee motivation in this case cannot be separated from the existence of high compensation or deemed appropriate role. Based on this theory, an employee in an organization must have these three factors because the organization needs competent people, which have the skills and knowledge so that they can contribute to performance. However, they also need to have high motivation in working to be able to achieve the desired performance and in the formation of that motivation high compensation or deemed appropriate role.

The improvement of this research is the other research object about remuneration policy are in business or private sector as in [5-8], or in public sector but in the health sector as in [9,10], while the author research is in public higher education sector. So, this research was conducted in Mulawarman University as the biggest and the oldest university in East Kalimantan.

Mulawarman University changed its status to a Public Service Agency (in Indonesia called Badan Layanan Umum – BLU) since February 27, 2009. The formation of a Public Service Agency is a government policy, especially in the Ministry of Finance regarding different budget management and tend not to be conservative as in the management of the State Budget and Revenue (in Indonesia called APBN), namely financial management in public service units which is more flexible and independent in order to encourage the improvement of public services. As for the government policy regarding this matter set forth in Indonesia Government Regulation Number 23 of 2005 concerning Ratification of Public Service Agency Finances and Regulation of the Minister of Finance Number 07/PMK.02/2006 concerning Administrative Requirements for the Pattern of Financial Ratification of Public Service Agency.

Budget management of the Public Service Agency model that is more flexible and independent is expected to be able to improve the performance of a public service unit so that the principles of the public service body which is the concept of the Performance Based Budget can be well implemented [11]. Each service unit turned into a Public Service Agency must be followed by a change: 1) the organization or institution must be adjusted to the goals of the organization of the Public Service Agency oriented to income, not expenditure, 2) the composition and performance of human resources must be adjusted to the demands of professionalism and competence support the performance of the organization of Public Service Agencies, 3) financial management must be adjusted to the financial management of Public Service Agency oriented on the Performance Based Budget, 4) facilities and infrastructure will follow the demands of the aspirations of the community that develops according to the desired service quality standards. In performance measuring of Balanced Scorecard, changes to these four aspects constitute four strategic pillars whose appraisal or performance level must be balanced. Therefore, organizational performance will be achieved well if the four pillars are also balanced.

Theoretically the application of the Public Service Agency model has a positive impact, namely: 1) gradually the State Budget and Revenue (in Indonesia called APBN) in the service unit is reduced, the budget allocation is only for strategic matters such as employee salaries and infrastructure development, while operational expenditure has become the responsibility of the service unit (Public Service Agency) mentioned, 2) increasing and expanding public service targets, 3) increasing employee welfare within the public service unit environment, 4) building a corporate culture for employees in each unit of the Public Service Agency, 5) building independence of government work units and being able to release dependency on budget allocations from the central government or the government above it [11].

One of the obligations that must be fulfilled by a Public Service Agency related to financial management is that the financial management of a Public Service Agency must be oriented on the performance based budget, so that the remuneration policy is enforced by Mulawarman University which has the status of a Public Service Agency. The word ‘remuneration’ comes from the English word which means ‘payment’ which means giving a salary or giving a lot of profit [12]. The remuneration policy for civil servants that creates a new salary structure is intended to be an antidote for employees against bribes or lure material that ends in acts of Corruption, Collusion and Nepotism. In human resource management, remuneration is classified as a welfare provision for employees, so it can be classified as one type of motivation related to efforts to improve employee performance or productivity.

However, the remuneration policy at Mulawarman University was only implemented in 2016 because in that previous years various resources for the implementation of the policy were not yet available, especially its financial management system. So in 2016, the implementation of the remuneration policy is inevitable not to be carried out because it has entered the seventh year since the change in status of Mulawarman University into a Public Service Agency.

However, a number of problems and challenges were encountered by the policy implementers in implementing the remuneration policy. Among others there are unclear reference to the calculation of the acquisition of remuneration allowances for lecturers, the lack of effective socialization from the executor (university) to its work unit (faculties and Technical Implementing Units – in Indonesia called Unit Pelaksana Teknis or UPT), the incompatibility of the acquisition of remuneration benefits with data input that has been done at the work unit level, and so forth.

This problem is an important issue to study because there is a gap between the desires of the target group and the outputs resulting from the implementation of the remuneration policy. This research focuses on analyzing the implementation of remuneration policies that have been implemented by Mulawarman University in 2016 and 2017 along with their impact on the performance of lecturers in implementing Three Dharma of Higher Education.

This research assumes that the implementation of the remuneration policy has many weaknesses that need to be overcome in order to achieve the objectives and due to imperfect implementation of the policy, it can have positive or negative impacts on lecturers who are one of the targets of the policy. In this case, the authors see considerable benefits by conducting this research for the development of Mulawarman University as a better tertiary institution in the future.

2. Methods

2.1. Location, Objects and Research Design

This research was conducted in Mulawarman University as the biggest and the oldest university in East Kalimantan. This research uses a combination of methods with concurrent triangulation design that is mixing two methods in a balanced manner, used together at the same time, but independently to answer the formulation of similar problems. The focus of integration is more on data collection techniques and data analysis [13]. There is other research on remuneration that is also carried out in the universities or educational institutions, as in [14-16], but the research approach used is different from this research because it uses only quantitative methods.

The implementation of remuneration policy at Mulawarman University in this research have been analyzed from several variables that influence the successful implementation of a program/policy [17], which is integrated from several theories regarding policy implementation, namely the content of the policy, the logic of the policy, the environment in which the policy is operating and the ability of the policy implementers, including its effect to lecturer’s performance as the focus of this research. Data analysis is performed by combining all data obtained from qualitative and quantitative methods, after which conclusions are made whether the two data sets are mutually reinforcing, weakening or contradictory. Data presentation for qualitative research results is in the form of a description of the research focus and for quantitative results presented descriptively quantitative by presenting data on the frequency distribution of respondent’s answers and measuring the magnitude of influence between variables.

2.2. Data Collection Techniques

Data was collected through interviews with key informants from the remuneration team and faculty leaders, distributing questionnaires to lecturers and searching documents. The number of lecturers who became the research sample was 90 people from 14 faculties by simple random sampling through proportional allocation.

3. Results and Discussion

3.1. Implementation of Remuneration Policy at Mulawarman University

At Mulawarman University, the remuneration policy was implemented based on Chancellor Decree Number 519/KU/2016 which was passed on May 2, 2016, with consideration to guarantee legal certainty and smooth remuneration for the Management Officer, Supervisory Board, and employees of the Mulawarman University Public Service Agency. It has been stated in the Rector’s Decree that remuneration is only given to the Management Officer, Supervisory Board, and employees of the Mulawarman University with the status of Civil Servants. The remuneration for the Management Officer and the Public Service Agency officer in question is in the form of salary and incentives, while the remuneration for the Supervisory Board is in the form of honorarium and incentives.

After issuing the Chancellor’s Decree, several policies were issued to guide technical implementation, including:

1. Mulawarman University Rector Decree Number 701/KU/2016 concerning Determination of the Mulawarman University Public Service Agency Remuneration Application, which was ratified on June 14, 2016,

2. Mulawarman University Rector Decree Number 1459/KU/2016 concerning Technical Guidelines on Performance Evaluation and Remuneration Payments for Managing Officers and Employees of Mulawarman University Public Service Agency, which was ratified on November 10, 2016,

3. Mulawarman University Rector Decree Number 1756/KU/2016 concerning Appropriate Remuneration Incentives and Performance Contrast Appraisal for Management Officers and Employees of Mulawarman University Public Service Agency, which was ratified on December 19, 2016.

In the implementation of remuneration in 2017, a Mulawarman University Rector Decree Number 601/KU/2017 concerning Application of Remuneration for the Management Officer, Supervisory Board, and employees of the Mulawarman University Public Service Agency, which was ratified on April 17, 2017 was issued. The Rector’s Decree decides and stipulates more detailed matters that the Decree of the implementation of remuneration in the previous year.

In addition, the Mulawarman University Rector Decree Number 601/KU/2017 stipulates technical provisions that are different from the previous Decree (Mulawarman University Rector Decree Number 519/KU/2016) which include differences in terms of: 1) Name of office, position value, position class, salary amount and amount of incentives for Management Officers and Employees of Mulawarman University Public Service Agency, 2) amount of honorarium and incentives for the Supervisory Board, 3) guidelines for payment of salary/honorarium.

Based on the results of the study, five important things related to the implementation of the remuneration policy at Mulawarman University are:

1) The contents of the remuneration policy contain the background of the emergence of policies that can be understood and considered rational since the Mulawarman University was established by the Minister of Finance of the Republic of Indonesia as a government agency implementing the Financial Management Pattern of the Public Service Agency (in Indonesia called PK-BLU). The preparatory stage for implementing the remuneration policy at Mulawarman University has also gone through a series of stages of concept formulation, but it is unfortunate that the formulation of the concept does not involve public hearings from policy targets, so that decision making by the Remuneration Team is considered not to fully fight for the needs of lecturers.

The desired goals/changes of the remuneration policy are considered to be contrary to the interest of the target group because even though the composition of the University Remuneration Team until its development in 2017 has covered all components of the academic community (structural officials, lecturers and education personnel), the application of the principle of proportionality, the principle of equality and the principle of propriety in the implementation of Mulawarman University remuneration policies does not yet reflect the expectations and interest of the target group (lecturers). Whereas the objectives/desired changes from the implementation of the remuneration policy include: 1. Fulfillment of requirements in measuring the performance of Mulawarman University as the Financial Management Pattern of the Public Service Agency (PK-BLU), 2. Discipline the fulfillment of Three Dharma of Higher Education performance standards by lecturers, and 3. Equitable distribution of lecturer income from receiving incentives for performance.

Besides that Cascio has stated that the most important objective in any compensation system is actually justice (fairness or equity), which should at least be assessed from three dimensions namely internal justice, external justice and individual justice [18] so that the implementation of the remuneration policy at Mulawarman University should lead to the goal of respecting lecturer’s work performance and ensuring fairness. Other impacts include achieving the objective of obtaining qualified staff (lecturers).

2) The logic of the remuneration policy at Mulawarman University is met in terms of the formulation of the concept of salary and remuneration incentives, the difference in the amount of remuneration applied and the amount of remuneration based on the Decree of the Minister of Finance of the Republic of Indonesia, provisions on fulfilling Semester Credit Unit (in Indonesia called SKS) and the minimum attendance level of lecturers because it has been established reasonably and there is a reasonable theoretical support. For policy logic related to the provision of fulfillment of Semester Credit Unit (SKS), the minimum attendance level of lecturers and the Key Performance Indicator which is a condition of remuneration payments is also fulfilled through the existence of juridical support contained in Government Regulations.

For logic regarding differences in the provisions for the Management Officers of Faculties A and B on the application of remuneration for employees of Mulawarman University in 2017, it is known that the formulation was made based on the Rector’s Decree Number 601/KU/2017 with the rationale for differences in funding contributions from 14 faculties at Mulawarman University. Faculties that have the highest number of students, namely Teaching and Education Faculty, Social and Political Sciences Faculty and Economics and Business Faculty, are the three faculties that provide the largest funding contribution to remuneration policies, because until 2017 remuneration at Mulawarman University still relies on funding sources from a Single Student Tuition (in Indonesia called Uang Kuliah Tunggal - UKT). To balance the appreciation of the different the Faculty of Social and Political Sciences workloads and responsibilities of the Deans and Vice Deans in the three faculties with other faculties, then this was formulated in the remuneration implementation at Mulawarman University. The logic of the policy regarding this can be accepted by the remuneration target group in general, although a number of faculty leaders stated that there were other important points in measuring the contribution of work units to the university, including the achievement of outputs from the implementation of Three Dharma of Higher Education in the form of research result and publications.

Referring to the David L. Weimer and Aidan R. Vining theory, the first variable that influences the successful implementation of a program/policy is the logic of the policy, which means that a policy is determined reasonably and has theoretical support [19]. But in this study it is known that juridical support for the implementation of remuneration policies at Mulawarman University is broadly classified as weak because a number of provisions/rules regarding the Mulawarman University remuneration system are still unclear, have not summarized all indicators of performance appraisal, are still changing and still not appropriate between what is stated in the Chancellor’s Decree and its implementation. Among them are applicative matters such as details of the performance to be paid and payments, and there is no clarity and compatibility with the real performance of lecturers. Even when in 2017 payment of performance details was made based on Key Performance Indicator, there was still no clarity for the reporting period and the payment.

Research findings related to Employee Performance Targets (in Indonesia called Sasaran Kinerja Pegawai – SKP) and the minimum attendance level used as a requirement for remuneration honorarium payments, lead the authors to a finding that the implementation of remuneration policies is precisely a reminder for Mulawarman University lecturers about the obligations they must fulfill, which so far have been neglected namely about a minimum of 12 Semester Credit Unit (SKS) fulfilled of Civil Servants working hours according to their functional position. Both of these are the requirements for remuneration honorarium payments which then tend to be rejected by Mulawarman University lecturers because in addition to being the main correction tool for lecturer’s performance, also because a number of lecturers have dissolved over the conditions that have been undertaken (although in fact wrong).

In cognitive consistency theory, this is explained that basically humans are always looking for balance (consistency) and cognitive systems that humans have become the main tool to achieve this balance. Humans will always feel more comfortable with something that is fixed (consistent) than things that are not fixed (inconsistent). When someone receives information (stimulation), their mind will arrange it into a pattern with other stimuli that have been received before. If the stimulus does not fit into the existing pattern, or is inconsistent, the person will feel discomfort. The feeling of imbalance is reffered to by Leon Festinger as cognitive dissonance [20]. Associated with the findings in this study, the changes that occur for lecturers due to the implementation of remuneration policies, where performance starts to be measured by a number of indicators on the performance appraisal related to incentives, a number of lecturers also feel inconvenience so that they tend to reject changes or policy provisions.

Thus, as a performance measurement tool, the requirements which are used as the basic provisions for remuneration honorarium payments based on the analysis of the author are actually a form of reform at Mulawarman University, especially in regard to the performance of lecturers in the implementation of Three Dharma of Higher Education.

3) The environment in which the remuneration policy is implemented generally accepts the implementation of the remuneration policy, although at the beginning of its implementation in 2016 the remuneration policy received high resistance from the target group.

The findings of this study are in line with Marilee S. Grindle’s theory which states that the environment variables in which the policy operates include three things: 1) the strengths, interests and strategies of the actors involved in policy implementation, 2) the characteristics of the institution, and 3) the level of compliance and responsiveness of the target group [17]. In this research, the level of compliance and responsiveness of lecturers as the target group becomes the main variable in determining whether the Mulawarman University is conductive or not as a place to implement remuneration policies. There is a change in the pattern of receiving money for performance, especially for lecturers with additional assignments (in Mulawarman University remuneration called DT) and lecturers of master and doctoral programs, as well as changes in work climate that become more competitive in fulfilling the Three Dharma of Higher Education, making the policy environment in 2016 not conducive because it is the first year of policy implementation of the remuneration.

The Mulawarman University Staffing Department further states that in each work unit the workload and scope of work do not accommodate a sense of justice and professionalism. There is thus inequality and jealousy in each work unit as well as in each lecturer and education staff. In addition, there was also jealousy from Non-Civil Servant Permanent lecturers who felt the workload was heavy but was not considered to obtain remuneration incentives which in this case returned to the availability and ability of Mulawarman University Non-Tax State Revenue sources to finance remuneration.

Looking at the phenomena obtained from the analysis of the internal environment of the Mulawarman University on the implementation of the remuneration policy, it is known that in 2017 the Mulawarman University environment has been able to accept the policy better because it has been made improvements to the system by the University-Level Remuneration Implementation Team.

4) The University Level Remuneration Implementation Team already has a good ability in terms of competence, but it is still not good in terms of readiness because the university leaders ignore the employment status of the parties who are members of the team. There are lecturers with learning status in the implementation team, which is a barrier to the implementation of the remuneration policy because they cannot be optimal in the policy environment at the time the remuneration is implemented. The Dean’s involvement as members of the Steering Committee also contained political nuances that benefited the University-Level Remuneration Implementation Team towards filing complaints, resistance and disputes from lecturers who were the target group. Furthermore, the role of the Deputy Dean and the Head of Divisions as the Faculty-Level Remuneration Support Team is more technical because it relates to the readiness of inputting lecturer performance which is communicated to the data input operators in their respective faculties.

Faculty level staffing operators in performance input activities have played a pretty good role. However, not all lecturers understand that receiving remuneration benefits is not only related to data input, but also cannot be separated from the data verification stage carried out by the Remuneration Team at the university level, which is not with regard to operator error in the data input process. The role of the University-Level Remuneration Implementation Team in the performance verification and validation activities is considered to be unsatisfactory to the target group because although they have made every effort to carry out their duties at the verification and validation stages of the performance of lecturers and education personnel, many of the results of the verification and validation are not yet clear and are not supported by the provisions that clearly stated to the policy objectives and to the staffing operator at the faculty level, especially in the follow-up stage to complaints or claims from lecturers and education staff.

Anderson [21] states that every policy that had been determined at the time of implementation requires the determination of the implementing unit in advance, which he called an administrative unit. These include the ranks of the policy executors from the top level to the lowest level where in the context of implementing the remuneration policy at Mulawarman University, the administrative unit is the Remuneration Team which in 2017 consists of the Steering Committee, Organizing Committee and Faculty Level Support Teams.

3.2. The Effect of the Implementation of the Remuneration Policy on the Performance of Mulawarman University Lecturers

The implementation of the remuneration policy is generally considered to have a positive impact on Mulawarman University lecturers, provided that efforts are made to improve the system in its implementation. In detail, the results of the study are reviewed as follows:

1) The effect of the implementation of the remuneration policy on increasing revenue.

The implementation of the remuneration policy increases the income of Mulawarman University lecturers because at the Mulawarman University the number of faculties which have a small number of students, are more than the number of faculties which have many students or often referred to as large faculties (Teaching and Education Faculty, the Faculty of Economics and Business, and the Faculty of Social and Political Sciences). The tendency is that income decreases happen in these large faculties.

2) The effect of the implementation of the remuneration policy on work motivation.

The application of the remuneration policy is generally considered to be able to give effect in the form of increasing the work motivation of lecturers in the implementation of the Three Dharma of Higher Education tasks. Although it does not rule out the possibility that is does not affect a small number of lecturers who are accustomed to being productive in carrying out their duties or in their work units are accustomed to the distribution of tasks proportionally.

But from Three Dharma of Higher Education, the highest increase in work motivation from the influence of remuneration occurs in the implementation of community service, while increasing work motivation for the implementation of two other Dharmas (teaching and research) as well as various supporting tasks (such as participation in scientific activities, involvement in committee/management of activities within the university) only at moderate or intermediate levels.

Unlike the case with the work motivation of lecturers in the implementation of thesis guidance and testing, the implementation of remuneration policy actually does not have an increasing effect, as a result of restrictions through the application of the principle of propriety related to the additional tasks.

3) The effect of the implementation of the remuneration policy on work relations.

The application of remuneration policy is generally considered to be able to influence in the form of an increase in the working relationship of lecturers in implementing the duties of the Three Dharma of Higher Education, although it is also known that the employment relationship prior to the remuneration policy was actually well established between lecturers and between lecturers and leaders. Besides that, it is also possible for a small number of lecturers who are accustomed to being productive in carrying out their Three Dharma of Higher Education assignments or in their work units accustomed to the distribution of tasks proportionally, this has no effect.

It is known that in general, Mulawarman University lecturers are of the opinion that the implementation of remuneration policy is sufficient to improve work relations between lecturers in teaching, work relations between lecturers in research, work relations between lecturers in community service, work relations between lecturers and faculty leaders in implementing Three Dharma of Higher Education, and the working relationship of the lecturer with the head of the department/study program in implementing the Three Dharma of Higher Education.

When it is related to motivation theory, the effectiveness of the implementation of Three Dharma of Higher Education by Mulawarman University lecturers is very much in accordance with the expectancy theory by Victor Vroom [18], where a person in determining the amount of effort given at a job, besides being influenced by internal needs, is also influenced by external aspects in the work environment.

Based on research results, Mulawarman University lecturers generally determine the amount of effort given in implementing Three Dharma of Higher Education influenced by need from within (internal motivation), which includes the hierarchy of human needs as stated by Maslow, namely physical needs, security, affiliation, respect and self-actualization needs. In addition, the amount of effort given by Mulawarman University lecturers in carrying out the Three Dharma of Higher Education is also influenced by the competency factor they have, which include abilities, skills and knowledge. This is so apparent in individual lecturers who are accustomed to being productive in carrying out their Three Dharma of Higher Education duties or in their work units accustomed to the distribution of tasks proportionally, this has no effect, so that the implementation of the remuneration policy does not affect their work motivation.

The external aspects of the work environment that also influence the implementation of the Three Dharma of Higher Education by Mulawarman University lecturer, one of which is compensation, which in this study takes the form of remuneration honorarium.

Then with regard to not increasing the work motivation of lecturers in the implementation of thesis guidance and testing when the remuneration policy is implemented, the results of the analysis show that the cause is the application of the principle of propriety which limits too much between the workload of lecturers calculated by the actual reality. Therefore, performance evaluation indicators for the task of guiding and testing the thesis applied in the implementation of remuneration policies at Mulawarman University tend to face high resistance from lecturers. Related to this, individual lecturers at Mulawarman University have opinions that are not the same as those of the formulators of the concept of remuneration.

In the theory of cognitive dissonance put forward by Leon Festinger [19], this kind of things forms an uncomfortable feeling that motivates someone to take steps (cognition) to reduce the discomfort. The level of dissonance is influenced by factors of importance, namely how significant the problem of limiting the workload of guiding and testing the thesis to the level of dissonance and individual rationality to justify the inconsistencies that occur. So that the work motivation of Mulawarman University lecturers in the implementation of their thesis guidance and testing tasks then depends on the rationality of individual lecturers towards the inconsistency of the situation faced in implementing the remuneration policy, which of course will vary for each individual lecturer.

Thus, the implementation of the remuneration policy at Mulawarman University which was implemented in 2016 along with its improvement in 2017 can be concluded to have a positive impact for Mulawarman University lecturers. And if in the future the efforts to improve the system are better in its implementation, then the positive impact received by Mulawarman University lecturers may be even greater.

Improvement of the system can be done through harmonious collaboration in interactions between implementers, the capacity of implementers in the field, information delivery strategies or socialization and organizational capacity. But the most important guarantor of a better policy implementation is the availability of adequate funding sources, so Mulawarman Universities need studies and innovative steps in exploring various sources of funding other than Single Tuition (in Indonesia called UKT) and fees from collaborations.

3.3. Research Founding

The result showed that the differences in remuneration policies at Mulawarman University in 2016 and 2017 included:

1. There are several new elements for performance inputs that were not taken into account in 2016, such as research, community service and academic guidance tasks undertaken by lecturers.

2. There are progressive differences between the faculties with a large number of students and those with fewer students.

3. There are structural and educational positions that can be added to the Performance System to get remuneration benefits, including the position of the Faculty Quality Assurance Secretary.

4. The problems that occurred in the implementation of the remuneration policy in 2016 no longer occur in 2017 due to improvements in the remuneration system.

However, besides these differences the implementation of the remuneration policy in 2016 and 2017 contains similarities among others:

1. The payment of benefits is equally slow,

2. The source of funding for remuneration still relies on income from Single Tuition (in Indonesia called UKT) from students. Even if there is from other sources, only from the cooperative activities fees.

Thus, Mulawarman University needs innovation and creativity in finding sources of Non-Tax State Revenue (in Indonesia called PNBP) so that the remuneration received by each employee can be even better. Public Service Board (in Indonesia called BLU) which is expected to become a Holding Enterprise Commercial is still not optimal. Although at this time Mulawarman University is trying to inventory assets that have the potential to generate income.

However, the results of the study also showed that the application of the remuneration policy did not fully influence the increase in the work motivation of lecturers in the implementation of the Three Dharma of Higher Education tasks. This finding is not in line with other research on the effect of remuneration on employee performance as in [14-16], which states there is a strong influence and a positive relationship between remuneration with employee performance and salary or incentives is a form of motivation for employees.

4. Conclusions

The implementation of the remuneration policy at the Mulawarman University had not been carried out properly because there was no in-depth understanding of a number of elements that actually needed to work in harmony which was marked by interactions between implementers, implementing capacity in reality, information delivery strategies or socialization and organizational capacity. However, the main reason that inhibits the implementation of remuneration at Mulawarman University is the lack of adequate time and funding resources. The implementation of remuneration policies at Mulawarman University has not yet gained full trust from the policy targets (lecturers), although there is some policy targets created cognitive dissonance where their performance is not affected by financial motivation through the remuneration policy applied. However, the implementation of the remuneration policy at Mulawarman University also succeeded in becoming a tool for correction of lecturer performance by requiring the fulfillment of Semester Credit Unit (in Indonesian called SKS) and the minimum attendance level of lecturers as a basis for remuneration honorarium payments, which so far have tended to be ignored from performance assessments at Mulawarman University.

The implementation of the remuneration policy increases income and work motivation in the implementation of community service. But it is only sufficient to increase the work motivation of lecturers in the implementation of teaching, research, participation in scientific activities for supporting tasks, involvement in committee/management of activities in the university environment and sufficiently improving work relations between lecturers in teaching, research, community service, and lecturer work relations with faculty leaders, departments and study programs in the implementation of the Three Dharma of Higher Education. It does not increase the work motivation of lecturers in the implementation of thesis guidance and testing.

ACKNOWLEDGEMENTS

We are very grateful to Rector of Mulawarman University for permissions to this research. We also very grateful to the Head of Public Administration Magister Program of Mulawarman University because this research received funding from Mulawarman University through Public Administration Magister Lecturer Research Term with Agreement No.686/SK/2017 dated April 26, 2017.