wage subsidy recipients use aid for daily needs during pandemic: govt

wage subsidy recipients use aid for daily needs during pandemic: govt

Screenshot from Vice Minister of Finance Suahasil Nazara during an online discussion in Jakarta, Saturday (7/31). (ANTARA/Agatha Olivia)/rst

this BSU aims to help this segment of people to meet their daily needs during the pandemic
Jakarta (ANTARA) - Deputy Minister of Finance Suahasil Nazara expects beneficiaries of the wage subsidy program (BSU) to utilize the offered aid to cater to their daily needs during the pandemic.

"This is based on a survey conducted with the National Team for Accelerated Poverty Reduction (TNP2K), the Workers Social Security Agency (BPJS Ketenagakerjaan), Manpower Ministry, and Vice President Secretariat," Nazara stated during an online discussion in Jakarta on Saturday.

The survey was conducted on 1,798 people in 90 cities and districts in 34 provinces during the period from March 24 to May 5 this year.

The survey result showed that 56.4 percent of BSU recipients were contract-based employees with an average salary of Rp2.9 million, or a total income, including fixed allowances, non-permanent benefits, overtime, and other benefits, of Rp3.5 million.

Nazara later noted that 91.1 percent of the beneficiaries were using the aid for basic necessities, and only 6.9 percent of them were saving it.

Meanwhile, 62 percent of the recipient participants admitted to having encountered difficulties in meeting their daily needs at the onset of the COVID-19 pandemic.

Related news: Govt pushes wage subsidies in PPKM level 3, 4 regions

"Hence, this BSU aims to help this segment of people to meet their daily needs during the pandemic," Nazara noted.

The average decrease in the income of BSU recipients as compared to their wage before the pandemic was around Rp1.3 million, or 26.1 percent of their total income.

On the other hand, Nazara remarked that BSU recipients fell in a group of people wherein 25 percent of the families, with the lowest socioeconomic conditions, had not availed routine social assistance programs, such as Pre-Employment Cards, Family Hope Program (PKH), and basic food cards.

Earlier, the Ministry of Manpower (Kemenaker) had promoted the BSU program to prevent layoffs and boost the workers' economic resilience, so that the chronic poverty rate does not increase. Related news: Manpower Ministry apportions Rp37.7 trillion for wage subsidies

 

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