Announcement! Entrepreneurs Must Pay Full THR, Can't Be In Installed

Minister of Manpower Ida Fauziyah (right). (Photo: Doc. Antara)

JAKARTA - The Minister of Manpower (Menaker) Ida Fauziyah asked the company to pay the holiday allowance (THR) in full. This means that employers cannot pay in installments.

Ida said, religious THR must also be paid no later than D-7 Lebaran or on April 15, 2023. He also asked the company to obey the applicable rules.

"When should the THR be given? Religious THR must be paid no later than seven days before Religious Holidays. This Religious THR must be paid in full, not in installments. I ask the company to obey this regulation," he said in a virtual press conference, Tuesday, March 28.

Ida said that currently there is no longer any reason for companies to pay THR in installments or not to pay it.

"With Indonesia's current economic condition that has improved again, of course there is no longer a story that companies don't pay THR," he said.

Ida said, the Ministry of Manpower has also issued a circular letter (SE) M//HK.0400//III/2023 regarding the Implementation of the 2023 Religious THR for Workers/Laborers in Companies.

Ida said that every company that does not pay and pay THR installments in Lebaran 2023 will be subject to sanctions as stipulated in Government Regulation (PP) Number 36 of 2021 concerning Wages.

"The imposition of sanctions is in the form of a written warning, restrictions on business activities, temporary suspension or part of the production equipment to freezing business activities," he said.

Therefore, Ida hopes that no company will be subject to sanctions for not paying or paying THR installments to workers or laborers.

"We all hope that of course there will not be (the imposition of sanctions). We ask companies to comply with existing regulations," he said.