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Jakarta Post

Employers to pay for workers’ welfare

  • Ridwan Max Sijabat

    The Jakarta Post

Jakarta   /   Wed, October 17 2012   /  10:30 am

The Constitutional Court ruled on Tuesday that employers had to register their workers on national health-care and occupational social security programs, and had to pay for their premiums.

A nine-member Constitutional Court panel, chaired by Mahfud MD, made the ruling to respond to a judicial review filed by a labor union federation against Article 15 of Law No. 24/2011 on social security providers (BPJS).

The article only requires employers to register their workers without giving details as to who pays for the premium, a provision that the labor unions considered as contradicting the 1945 Constitution, which guarantees workers’ rights for social security protection.

“The article contradicts the Constitution as it gives the impression that registering the workers on the program is not mandatory,” Mahfud said, reading the court’s verdict.

The ruling sa...