Indonesian Political, Business & Finance News

Manpower Ministry Strengthens Job Loss Insurance Programme for Laid-Off Workers

| Source: TEMPO_ID_BISNIS Translated from Indonesian | Social Policy

The Head of the Manpower Planning and Development Agency at the Ministry of Manpower, Anwar Sanusi, stated that his party continues to strengthen the implementation of the Job Loss Insurance (JKP) programme as an effort to assist workers affected by termination of employment (PHK). The programme is intended to provide protection while participants seek new jobs, as well as to increase their chances of returning to work.

“As a form of mitigation for workers who are laid off, we continue to improve the services of the Job Loss Insurance (JKP) programme,” said Anwar during a meeting at the Job Market Centre Building in South Jakarta on Monday, 29 June 2026.

He said that the JKP programme includes three main benefits: cash assistance during the transition period, training to improve or adapt skills to the needs of the job market, and job information and placement services. According to him, this scheme is expected to accelerate the process of workers obtaining new employment after being laid off.

In addition to encouraging participants to return to the formal sector, the Ministry of Manpower is also preparing an empowerment pathway through entrepreneurship training for workers who wish to start their own businesses. The programme is run in coordination with ministries responsible for cooperatives, micro, small, and medium enterprises (MSMEs), and the creative economy.

According to Anwar, cross-ministerial collaboration is needed to build a stronger entrepreneurship ecosystem, ranging from capacity building and information provision to business development mentoring. Thus, affected workers are expected to have more options to earn an income, either by returning to work or by building an independent business.

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