The polemic began after the release of Manpower Ministerial Regulation No. 2/2022 about the disbursement mechanism of JHT benefits on Feb. 4. Nearly 400,000 people have signed an online petition to urge the government to withdraw the decree, which stipulates that the JHT can only be withdrawn when workers reach 56 years of age.

Nonetheless, this is not a new dispute. In 2015, the government issued a similar regulation, and it was soon followed by waves of labor demonstrations nationwide, which pushed the government to withdraw the regulation.    

Why does the same dispute repeat now?

In our opinion, it is because both the government and workers defend their position from their own perspectives, which is not wrong, but the arguments become misconstrued. This dispute is like two wrong ends of the same stick.

From the government’s point of view, the new regulation will return the JHT to its original purpose, to shield workers from old-age poverty. Meanwhile, workers oppose the regulation because, from their point of view, they had their salaries deducted for years and need access to the money immediately, hence waiting until 56 years of age is too long.

To entangle the debate, we should first make it clear that both sides have an equally reasonable point of view. The government is correct to hold onto the concept of risk protection against long-term risk i.e. old-age poverty through delaying the disbursement time to retirement age.

Popular

BREAKING: BI Governor Perry Warjiyo resigns

Jakarta library reopens to packed rooms, long queues

State-sanctioned intolerance