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Jakarta Post

Labor-intensive industries wary of pressure from BPJS premium increase

  • Marchio Irfan Gorbiano and Riska Rahman

    The Jakarta Post

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Jakarta   /   Mon, September 2, 2019   /  06:21 pm
The Jakarta Post Image
Long queue – Residents of Pontianak, West Kalimantan, queue to register for BPJS memberships at the Pontianak BPJS branch.(thejakartapost.com/Severianus Endi)

Labor-intensive industries such as textiles and footwear have expressed concern over the government’s plan to increase premiums payable to the Health Care and Social Security Agency (BPJS Kesehatan), which manages the national health insurance (JKN) program, amid its severe financial deficit. Under the proposal, the income ceiling to be used as the basis for calculating the premium for privately employed workers will be increased from Rp 8 million (US$563.63) to Rp 12 million. Meanwhile, the cost-sharing scheme will remain the same, which is 4 percent of a worker's premium paid for by the employer and the remaining 1 percent borne by the worker. The government has also proposed to double premiums paid by “independent workers”, whose premiums are paid outside of the cost-sharing structure between employees and employers. Aside from freelancers, workers in the i...