Only 890 firms join Jamsostek

Only 890 firms join Jamsostek

TANGERANG: Only about 28 percent of a total of 3,214 companies in
Tangerang have registered their workers with Jamsostek (state
workers insurance).

Jamsostek Tangerang branch chief Achmad Ansyori said that
there were 3,214 industrial firms in Tangerang, but as of this
month only 890 firms had joined the Jamsostek program amounting
to a total of 42,969 workers.

But he said that of the 890 firms, some 320 had not paid their
monthly premiums during the last few months. Some of them had not
made any payments for the past for five months.

"The management of those companies lack awareness of their
obligation. Workers are entitled to such insurance and their
companies should not disrupt it by not paying their premium
contributions," he said.

According to Law No. 14/1992 on Jamsostek and
Government Regulation No. 14/1993 that outlines the program
implementation, a company that employs more than 10 workers and
pays Rp 1 million or more in total monthly salaries for its
workers is obliged to join the Jamsostek program.

Violators face a six-month prison sentence or Rp 50 million in
fines and those who are late in paying the monthly premium will
be fined as much as 2 percent of the total monthly
contribution.--JP