This report aims to provide concrete policy options for improving identification of the demand for teachers as well as for the allocation, recruitment, and distribution of teachers in Indonesia. It captures three review areas: (1) diagnosis of the effectiveness of existing mechanisms for identifying the need for teachers and of the teacher allocation system at the central level through discussions with key stakeholders, (2) review of good practices in hiring and distributing teachers as implemented in 13 districts in 13 provinces in Indonesia, and (3) review of international experience and good practices in recruiting and deploying teachers through desk reviews of studies undertaken in several countries. This study was conducted from October 2016 to August 2017 and used both quantitative and qualitative approaches. Information and data collection involved 156 local government representatives, 127 principals, and 170 teachers (of which 154 were civil servants and 16 were not civil servants) from 127 schools. Overall, there is an oversupply of teachers. However, deploying qualified teachers to areas in need is still a challenge due to conflicts in the signals received about the needed quantity of qualified teachers. Over half of the excess teachers are non-civil service. This trend began when the government issued Law No. 43/1999 which allowed for the appointment of honorary personnel, including honorarium teachers. Law No.22/1999 and Law No. 32/2004 on the implementation of decentralization also allow local governments to appoint local government employees as needed. The issuance of PP 48 of 2005, PP 43 of 2007, and PP 56 of 2012 strengthens the existence of non-civil service teachers since the PPs regulate the transfer of non-civil service to civil service status. These regulations provided a strong legal basis for the appointment of a large non-civil service workforce. In 2010, there were six times as many non-civil service teachers as in 2001. While KemenPAN-RB attempted to verify teacher data in 2010, it put civil servant teacher recruitment on hold. Local governments expressed concerns about the lack of civil servant teacher caused by attrition (retirement, resignation, and transfer). To respond to the deficit of teachers in the field, district governments and schools resorted to hiring non-civil service teachers to fill vacancies using various selection processes and criteria, and used various available sources of funding to pay their salaries. KemenPAN-RB, with input from MoEC and BKN, should issue national guidelines to be used by local governments for the appointment of non-civil service teachers (for example, number, qualifications, required competencies, selection process and its requirements, appointment arrangement, and performance assessment). There are continued challenges in supplying adequate numbers of high-quality teachers to the underdeveloped, border, and outermost areas of Indonesia (3T) and to vocational senior secondary schools (SMKs). Although the government of Indonesia has implemented pr...