Laid off workers to get Jamsostek cash<\/p>\n
Ridwan Max Sijabat, The Jakarta Post, Jakarta<\/p>\n
With hundreds of thousands of workers facing dismissal after the
\ngovernment raises fuel prices in the near future, state insurance
\ncompany PT Jamsostek is ready to ease their pain.<\/p>\n
Jamsostek will allocate Rp 350,000 in financial assistance to
\nevery worker who is laid off as a result of efficiency measures
\nfollowing the fuel price hike. The company president director
\nIwan Pontjowinoto said the funds were aimed at helping the
\nworkers seek or create jobs in the informal sector.<\/p>\n
\"Jamsostek is prepared for the worst-case scenario. Each
\ndismissed worker will receive Rp 350,000 to create jobs in the
\ninformal sector. Of utmost importance is that they meet all the
\nrequirements to get the financial assistance,\" Iwan said on
\nSaturday.<\/p>\n
According to Ministerial Decree No. 210\/2002, only workers who
\nhave been registered with Jamsostek for at least one year and
\nreceived at least Rp 650,000 in monthly wages before being laid
\noff are eligible.<\/p>\n
The workers are required to show a letter from the Central or
\nLocal Committee of the Labor Dispute Settlements that say they
\nwere dismissed and have never received similar financial aid in
\nthe past.<\/p>\n
Jamsostek made such a payment to thousands of workers
\ndismissed when sawmill and plywood companies trimmed their work
\nforces in Papua, Kalimantan and Sumatra recently.<\/p>\n
From 1995 up to the first semester of this fiscal year,
\nJamsostek has paid out a total of Rp 10.6 billion in financial
\nassistance for almost 49,000 dismissed workers.<\/p>\n
Iwan said that dismissed workers were also allowed to withdraw
\ntheir funds from the pension benefit program if they had
\nparticipated at least five years in the program. The pension
\nbenefits will be disbursed six months after dismissal.<\/p>\n
\"The payment of pension benefits is withheld for six months in
\ncase a dismissed worker finds a new job during the six-month
\nperiod,\" Iwan added.<\/p>\n
He complained that the ongoing economic crisis had affected
\nthe social security programs, as evidenced by the decreasing
\nnumber of companies and workers taking part in the scheme.<\/p>\n
Of 23 million workers registered with Jamsostek, only 7.5
\nmillion remain active, he said.<\/p>\n
That has encouraged Jamsostek to expand its programs to the
\ninformal sector, according to Iwan. With modified programs,
\nJamsostek has netted thousands of people working in the informal
\nsector in Batam, Riau, Jakarta, Malang and other cities.<\/p>\n
Separately, Indonesian Employers' Association (Apindo)
\nsecretary-general Djimanto said hundreds of sawmills, textile
\nfactories and other labor-intensive companies were expected to
\nlay off or dismiss workers as a result of the planned fuel price
\nincrease.<\/p>\n
\"A number of sawmills in Papua, Sumatra and Kalimantan, and
\ndozens of textile companies in Bandung, Pekalongan and Jakarta
\nhave halted their operations due to the fuel price hike in March
\nthis year. Many other labor-intensive companies are expected to
\ndo the same as prices of imported raw materials are increasing
\nand another fuel price rise is looming,\" he said.<\/p>\n
Director General of Overseas Labor Employment I Gusti Made
\nArka said the government would continue encouraging dismissed
\nworkers to seek jobs overseas.<\/p>\n
\"Dismissed workers stand a good chance of working overseas,
\nand thus can survive the economic difficulties. Their experience
\nis an advantage,\" he said.<\/p>\n
Job opportunities are still open for semi-skilled workers and
\nprofessionals in Malaysia, South Korea, Taiwan and the Gulf
\ncountries, he added.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/laid-off-workers-to-get-jamsostek-cash-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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