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BPJS Ketenagakerjaan ready to manage social security for laid-off workers

Under the proposed program, BPJS Ketenagakerjaan will provide cash benefits for six months, skills training and job access to laid-off workers. 

News Desk (The Jakarta Post)
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Jakarta
Mon, February 24, 2020

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BPJS Ketenagakerjaan ready to manage social security for laid-off workers Members of the Confederation of Indonesian Trade Unions (KSPI) stage a rally to protest the omnibus law on job creation in front of the House of Representatives (DPR) complex in Senayan, Central Jakarta, on Feb. 12. (JP/Dhoni Setiawan)

T

he Workers Social Security Agency (BPJS Ketenagakerjaan) is ready to manage the social security of laid-off workers when the proposed omnibus law on job creation is enforced, the agency’s senior executive has said.

According to BPJS Ketenagakerjaan strategic planning and information technology director Sumarjono, the agency is working closely with the government to create social security (JKP) schemes for laid-off workers in line with provisions stated in the omnibus bill on job creation, which is currently being deliberated by the House of Representatives (DPR).

 “We’ve been deeply involved in deliberations of the JKP. We were asked to hand out data regarding work terminations and advised [the government] on the potential scheme,” he said in Jakarta on Friday.

The JKP schemes are part of the controversial omnibus bill on job creation, which is aimed at reforming Indonesia’s employment policy. The bill includes revisions to Law 40/2004 on the national social security system and adds JKP as part of the social security program administered by BPJS Ketenagakerjaan.

Under the proposed program, BPJS Ketenagakerjaan will provide cash benefits for six months, skills training and job access to laid-off workers. The cash benefits, however, will be gradually be reduced.

“We will gradually decrease the cash benefits over the six-month period. Hopefully, it will encourage them to get new jobs,” Sumarjono said.

He said the government was currently deliberating the program’s scheme, premium payments and benefits, before decided on the premium that workers and employers must pay.

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