Why JHT Can Only Be Disbursed When The Participant Is 56 Years Old? Economist: Because There Is Already A JKP That Can Be Disbursed If You Are Laid Off

Illustration. (Photo: Doc. Antara)

JAKARTA - The Indonesian Center of Reform on Economics (CORE) stated that the job loss insurance (JKP) complements the new old-age insurance (JHT) policy which can only be disbursed when workers enter the retirement age of 56 years.

CORE Indonesia economist Yusuf Rendy Manilet assessed that the new JHT policy which was included in the Regulation of the Minister of Manpower (Permenaker) of the Republic of Indonesia Number 2 of 2022 could be issued because there was already a JKP.

"This rule can be issued because now there is also a JKP which is intended for people who have lost their jobs so that those who have been laid off can take advantage of this facility," he said, quoted from Antara, Saturday, February 12.

This new JHT regulation raises pros and cons in the community, especially the workers because they consider the policy to be detrimental to workers, especially those affected by layoffs.

This is because JHT funds can be used for business capital for workers affected by layoffs, especially in the midst of the COVID-19 pandemic which makes it difficult for many workers to find new jobs.

Yusuf said that JKP can complement the JHT policy because in the new regulation JKP is included with severance pay, so it can be a temporary cushion for people who have been laid off.

"So, the mechanisms are complementary," he said.

However, Yusuf emphasized that the JKP and JHT mechanisms must be clear, especially regarding how JKP disbursement is carried out and how JHT funds are managed.

"Don't let someone who wants to get JKP make the process complicated and burdensome," he said.