Electricity Discount Canceled, Government Increases Wage Subsidy Assistance To IDR 600 Thousand For 2 Months

Minister of Finance Sri Mulyani when delivering an explanation regarding the government's five incentives policy, at the President's office, Jakarta, Monday (2/6/2025), to maintain people's purchasing power. (ANTARA/Andi Firdaus)

JAKARTA - Presiden Prabowo Subianto menetapkan kebijakan Bantuan Subsidi Wage (BSU) senilai Rp600 ribu untuk 17.3 pekerja, sebagai salah satu dari lima paket insinasi ekonomi yang akan diluncurkan pada Juni-Juli 2025.

Minister of Finance (Menkeu) Sri Mulyani Indrawati stated that this assistance aims to maintain the purchasing power of low-income people, especially the group of workers and honorary teachers.

"The fourth group is aimed at workers and honorary teachers, namely providing wage subsidy assistance to 17.3 million workers who have salaries below Rp. 3.5 million or below the provincial/district and city minimum wage," he said as quoted by ANTARA, Monday, June 2.

A total of 17.3 million workers with salaries below Rp3.5 million or below the district/city minimum wage registered with BPJS Ketenagakerjaan, Sri said, would receive a BSU of Rp600 thousand, which was paid at once in June for a two-month period (June's 'July').

In addition, the government will also distribute similar assistance to around 565 thousand honorary teachers, consisting of 288 thousand teachers under the auspices of the Ministry of Basic and Secondary Education (Kemendikdasmen) and 277 thousand teachers under the Ministry of Religion.

"Each honorary teacher will also receive assistance of Rp600 thousand," said the Minister of Finance.

"Distribution will be fully pursued in June," he said.

Not only that, the government has also extended incentives in the form of a 50 percent discount on Work Accident Insurance (JKK) contributions for six months for 2.7 million workers in the labor-intensive industry sector.

This program is expected by the Minister of Finance to help ease the burden on business actors who are facing global pressure and maintain the protection of workers in sectors that are vulnerable to economic turmoil.

For the BSU program and assistance to honorary teachers, the government has allocated a budget from the APBN of Rp. 10.72 trillion, while the JKK contribution discount comes from Non-APBN sources and will be carried out by the Ministry of Manpower and BPJS Ketenagakerjaan.