Warning For Employers: THR Late, Fines In Sight!

Illustration. (Photo: Doc. Between)

JAKARTA - The Ministry of Manpower (Kemenaker) issued a rule granting religious holiday allowance (THR). THR must be paid in full to workers or workers no later than H-7 before Eid al-Fitr. If the company is late to pay THR according to the deadline, a fine will be imposed.

Employment Minister Ida Fauziyah said that now that the economy has improved, THR must be paid in full. Thr provision rules for workers and workers are contained in Circular Letter Number M/6/HK.04/IV/2021.

In addition, thr payment deadline rules this year refer to The Minister of Manpower Regulation No. 6 of 2016 concerning Religious THR for Workers or Workers in the Company. In addition, THR payments are also contained in Government Regulation (PP) Number 36 of 2021 on Wages.

"Thr provisions in 2021 as stipulated in Ministerial Regulation number 6 of 2016 that THR payments must be given H-7 before the holiday itself arrives," said Ida, in a virtual press conference, Monday, April 12.

Ida said that the discussion of religious THR payments this year is input from the national tripartite cooperation agency and the work team of the National Wage Board (Depenas), as well as intense communication with employers and unions or workers.

The government, said Ida, has provided support to entrepreneurs to overcome the impact of the COVID-19 pandemic. This is so that the community economy moves in line with government policies for handling COVID-19 and national economic recovery (PEN).

"Therefore, it is necessary for employers to pay THR in full and on time," he explained.

Companies affected by COVID-19 must pay THR H-1

Ida also requested that the Regional Head ensure that the company pays religious THR to workers or workers in accordance with the provisions of the legislation. Ida said, for employers who cannot afford THR because they are still not recovering from the pressures of the COVID-19 pandemic, they should have bipartite dialogue with workers. The results of the dialogue must be reported to the Employment Office before H-7 Eid al-Fitr.

Then, management had to submit financial statements the last two years to prove that the company's finances were under pressure. Later, the company was given time to pay THR maximum H-1 Eid al-Fitr.

"Financial statements of the last 2 years. If there is a company that does not have the ability to pay in accordance with the provisions, then he must report the bipartite talks to the employment office before H-7, because the leeway given only until H-1 Eid al-Fitr," he said.

103 companies have not paid THR 2020

Ida Fauziyah said that based on the final recapitulation as of June 4, 2020, it received 410 reports of complaints related to the payment of Eid al-Fitr allowance (THR) last year. Of these, 307 companies have completed through checks and made THR payments.

"There are 103 other companies in the process of examination, supervision, and service summons for the implementation of inspection notes one and two. Some of them are related to industrial relations disputes that are again processed," he said.

As is known, the government allows private companies to delay or shrink the payment of Religious THR in 2020. However, thr payments that are deducted or delayed must still be completed by 2020.

This permit is contained in the Circular Letter (SE) of the Minister of Manpower Number M/6/HI.00.01/V/2020 concerning the Implementation of Religious Holiday Allowance 2020 in the Company during the Corona Virus Disease Pandemic 2019 (COVID-19).

"The consideration at that time was the consideration of business continuity and the needs of workers or workers for the fulfillment of thr needs," he said.

Meanwhile, this year, the government requires employers to pay thr in full on H-7 Eid al-Fitr. It is listed in the Se Minister of Manpower Number M/6/HK.04/IV/2021 concerning the Implementation of Religious THR Granting in 2021 for Workers or Workers in the Company.

Fines for Companies that do not pay THR in a timely manner

Ida said there are a number of sanctions for companies that are late and do not pay religious holiday allowances (THR) 2021 to workers in accordance with government regulations. THR payment for this year must be given at least 7 days before religious holidays.

Thr payment rules this year in accordance with The Minister of Manpower Regulation No. 6 of 2016 concerning Religious THR for Workers or Workers in the Company. In addition, THR payments are also contained in Government Regulation (PP) Number 36 of 2021 on Wages.

Ida stressed that the government has provided support to entrepreneurs to overcome the impact of the COVID-19 pandemic. He said that this support is given so that the community economy moves in line with government policies for the handling of COVID-19 and national economic recovery.

Therefore, continued Ida, employers' commitment to pay religious THR 2021 in full and on time

"Employers who late pay THR to workers are subject to a fine of 5 percent of thr to be paid since the expiration of the deadline of the employer's obligation to pay," he said.

Meanwhile, Ida said, employers who do not pay THR will be subject to administrative sanctions in the form of written reprimands. In addition, the government will also limit the company's business activities.

"The temporary suspension of some or all of the production equipment and the freezing of business activities," he said.

As is known, Menaker Ida Fauziyah obliges all entrepreneurs to pay thr maximum h-7 Eid al-Fitr. It is stated in Circular Letter (SE) Number M/6/HK.04/IV/2021 concerning the implementation of THR Year 2021 For workers or workers in the company.