In the law to create jobs for officers that have been abolished to guarantee job loss, what is that?

JAKARTA, KOMPAS.com – The House of Representatives of the Republic of Indonesia has passed the Omnibus Law of the Cipta Kerja Law Plan (RUU) as law today, Monday (10/5/2020).

The coordinating Minister for Economic Affairs, Airlangga Hartarto, explained that through the Employment Creation Bill there is a new protection scheme for victims of dismissal (PHK) in the form of the Job Loss Guarantee (JKP) program.

“The Covid pandemic not only has a great impact on the economy, but requires a new protection scheme. And this protection scheme is a job loss guarantee program that provides benefits, that is, cash benefits,” Airlangga said when giving his presentation after the ratification of the Draft Law on Job Creation in Plenary.

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In addition to cash, laid off victims will also receive training to improve their skills and access information to re-enter the job market.

“Therefore, workers or workers who have experienced layoffs are still protected for a certain period of time while they search for a new and more suitable job,” Airlangga said.

The JKP program is different from severance pay or tenure rewards.

Article 46A of the draft Employment Creation Law explains that the program is administered by the administrative body of labor social security, in this case the BPJS Ketenagakerjaan or BPJamsostek.

“Workers / workers who experience termination of employment are entitled to a guarantee of loss of employment,” writes Article 46A, paragraph 1 of the regulations.

However, not all workers can obtain this guarantee. Only workers who have paid dues at BPJamsostek will receive this guarantee.

The source of funding for job loss guarantees comes from government seed money; recomposition of contributions to the social security program; and / or operating funds of BPJS Ketenagakerjaan.

“Any person who has paid contributions participates in the Job Loss Guarantee”, writes article 46C of the Employment Creation Law.

The more detailed provisions on JKP will be contained in derived regulations, that is, in the form of government regulations (PP).