Jakarta (ANTARA) - The Confederation of Indonesian Workers Unions (KSPI) urged the government to disburse the holiday allowance (THR) in 2021 in full, without an installment, and not postpone it as in 2020.

At a virtual press conference here on Friday, KSPI President Said Iqbal also highlighted the union’s expectations that Manpower Minister Ida Fauziyah would not issue a decision that allows THR payment in 2021 to be less than 100 percent.

"We urge the minister to not issue such a policy," Iqbal emphasized.

Minister Fauziyah had earlier issued a decision on THR during the COVID-19 pandemic to be disbursed gradually or postponed according to the agreement between the company and workers.

The decision to postpone or pay THR in installments is applicable to companies that are unable to pay the THR by the deadline outlined by law.

The dialog between the company and workers must be based on the firm’s financial reports, and all should be done in good faith to reach an agreement.

The KSPI has called on the government to not take similar steps this year and urged that the policy on THR should align with the provisions of Government Regulation Number 78 of 2015.

Iqbal emphasized that if the holiday allowance policy is still the same as in 2020, the union will submit a letter of protest to President Joko Widodo and take legal steps if a decision regarding the allowance is issued by the Manpower Ministry.

On a separate occasion, Fauziyah spoke of the ministry preparing a wage policy during the economic recovery period due to the impact of the COVID-19 pandemic after the issuance of Government Regulation Number 36 of 2021 on wages, which is a derivative of the Job Creation Law.

"This includes disbursement of the religious holiday allowance for 2021," the minister noted during a working meeting with Commission IX of the House of Representatives on Tuesday. Related news: Enterprises in Indonesia must pay THR regardless of COVID-19 pandemic
Related news: Manpower Minister issues a circular on THR for workers


Translator: Prisca Triferna Violleta, Katr
Editor: Suharto
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