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Laid-off Workers Get Social Protection Guarantee from the Ciptaker Law

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By:  Lukman Keenan Adar )*

Workers or laborers who have experienced layoffs are able to get social protection guarantees that are very appropriate and help from the enactment of the Job Creation Law which was previously ratified by the Government of the Republic of Indonesia and the Indonesian Parliament.

The Director General for Development of Industrial Relations and Labor Social Security (Dirjen PHI and Jamsos) of the Ministry of Manpower of the Republic of Indonesia (Kemnaker RI), Indah Anggoro Putri explained that with the existence of the Job Creation Law (UU Ciptaker) which had been ratified by the Indonesian Government together with the Council The People’s Representative Council (DPR RI) is able to provide certainty, primarily in the protection of workers or laborers.

Not only that, but workers or laborers who, for example, experience termination of employment (PHK) from the company or place of work, will receive severance pay, award money and so on.

It’s not enough to get there, workers or laborers who have experienced layoffs will also get social protection guarantees in the form of a Job Loss Guarantee program (JKP).

Indeed, it is undeniable that the storm of layoffs has been and continues to threaten and even occur in various countries in the world, including it is also inevitable that this will also happen in Indonesia, even since the beginning of the COVID-19 pandemic that hit the world and the country.

In fact, the World Bank has also given its prediction that there is a risk of a global recession in 2023. Even though the recession did not experience such a severe impact due to the good management of the economy in the country and also how strong the nation’s economic fundamentals are, in fact the hurricane of layoffs has hit thousands of workers in Indonesia since the end of 2022.

The emergence of the storm of termination of employment will of course also cause various problems in the country, especially for workers or labourers, for which a solution has now been found for this problem, namely since the passage of the Job Creation Law, which guarantees the protection of workers’ social security. .

Regarding the guarantee of protection for workers or laborers who have experienced layoffs, demography and employment expert at Gadjah Mada University (UGM), Prof. Tadjuddin Effendi considers that job security is indeed a very important matter for the government to continue to strive for.

According to him, with this social protection guarantee, it will be able to provide protection for workers or laborers, especially those affected by termination of employment.

In the Job Creation Law itself, if you read it carefully, there is even a guarantee or protection that continues to side with workers or laborers, not just in one form, but there are various other forms. Some of them are job loss guarantees, old age benefits, insurance guarantees and so on.

Of course, with the various kinds of protection that the Government of Indonesia is able to provide through the implementation of the Job Creation Law, it also has the aim of providing protection so that people in the country do not fall into poverty.

In the employment context itself, the implementation of the Job Creation Law is concrete evidence of how strong the commitment the Government of Indonesia has in its efforts to continue to be able to provide a series of labor protections as well as business continuity in order to be able to answer all challenges in the development of the current labor dynamics.

On another occasion, the Minister of Manpower of the Republic of Indonesia (Menaker RI), Ida Fauziyah stated that the substance of employment that has been regulated in the Job Creation Law itself is basically an improvement over the previous regulation, namely Law Number 11 of 2020 concerning Job Creation.

The refinement of the substance contained in the previous regulation is a form of the efforts made by the Indonesian Government in providing highly adaptive protection for workers or laborers so that they can face all the challenges of manpower which are increasingly dynamic day by day.

Moreover, the changes to the substance of the workforce have all referred to the results of absorbing aspirations that have been carried out by the Government of Indonesia through numerous discussions and dialogues regarding the Job Creation Law which are taking place in many regions in Indonesia such as Manado, Medan, Batam, Makassar, Yogyakarta, Semarang. , Balikpapan and Jakarta.

Simultaneously with the absorption of these aspirations, many studies have also been carried out by various other independent institutions, with the main considerations being able to continue to increase the existence of job creation and improvement, protection of workers or laborers and also business continuity.

Social protection guarantees for workers or laborers, which are entirely available and have been regulated in such a way in the Job Creation Law, specifically aimed at workers who have experienced termination of employment, are a concrete form of how the government’s commitment is to provide adaptive solutions to the dynamics in the world of employment.

)* The author is a contributor to Persada Institute

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