Minister Of Manpower Ida Fauziyah Gives Strong Warning To Companies That Don't Pay Eid Allowance

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

JAKARTA - The Minister of Manpower (Menaker) Ida Fauziyah emphasized that entrepreneurs who do not pay the 2023 Eid Allowance (THR) will be subject to sanctions.

Furthermore, Ida explained that the imposition of sanctions on companies would refer to Government Regulation (PP) Number 36 of 2021 concerning Wages.

Where, in this policy, the heaviest sanctions for companies that do not comply with applicable regulations regarding THR payments will be suspended.

"Imposition of sanctions in the form of written warnings, restrictions on business activities, temporary suspension or partial suspension of production equipment to freezing of business activities," she said, quoted Wednesday, March 29.

Because of that, Ida hopes that no company will be penalized for not paying THR installments to their workers or laborers.

"We all hope of course that won't happen (sanctions). We ask companies to comply with existing regulations," she said.

Ida said, the government through the Ministry of Manpower has established official rules for giving THR, where employers are required to provide THR for Eid 2023 a maximum of H-7 and cannot be paid in installments.

This was stated in a circular letter (SE) M/2/HK.0400//III/2023 concerning the Implementation of Giving Religious THR in 2023 for Workers/Laborers in Companies.

"Must be paid no later than seven days before the Religious Holidays. This Religious THR must be paid in full, not in installments. I ask the company to comply with this regulation," she said.

Currently, said Ida, there is no reason for companies to pay THR in installments or not pay it.

"With Indonesia's current economic condition which has recovered, of course, there will be no more stories of companies not paying THR," she said.