Result achieved

Linked projects

IDN/14/02/RBS - Support to the finalized design, endorsement and pilot testing of the single window for social protection and employment services, called Single Referral System (SRS)
- Indonesia - Government and social partners have greater capacity in designing and implementing social protection policies and programmes (country programme 2016-17)

Outcome summary

Tripartite representatives endorsed the conclusions of an actuarial review on the pension scheme in April 2017, and agreed on the way forward for implementing some of the recommendations.

Outcome achieved

Representatives from the Ministry of Manpower, Ministry of Finance, the National Social Security Board (DJSN), the Workers’ Social Security implementing body (BPJS Ketenagakerjaan), and representatives of workers’ and employers’ organizations, endorsed the conclusions of an actuarial review on the pension scheme in April 2017, and agreed on the way forward for implementing some of the recommendations. 2. The BPJS Ketenagakerjaan agreed on the findings and recommendations of the study on the social security inspection system.

ILO's contribution to the outcome

Building on an initial assessment of the pension scheme implemented in the country as from July 2015, the ILO, in collaboration with BPJS Ketenagakerjaan, conducted a new in-depth actuarial valuation of the implemented pension scheme. Relevant ILO standards, namely the Social Security (Minimum Standards) Convention, 1952 (No. 102) and the Social Protection Floors Recommendation, 2012 (No. 202), were used as references in carrying out the assessment and in formulating the recommendations. The ILO supported and facilitated a workshop for tripartite constituents to discuss the conclusions and recommendations of the actuarial valuation in April 2017. Participants from the Government, trade unions and the employers’ associations were trained on selected social security topics (unemployment insurance, short-term social security benefits and pension systems). 2. The ILO supported the review of the social security inspection system and formulated recommendations for improvement. The ILO organized a training for the social security inspectors of BPJS Employment (social security provider).

Gender equality & non-discrimination

The actuarial review of the new pension scheme undertaken by the ILO includes a recommendation on adjusting the amount of the minimum disability pension in order to meet the requirements of the Social Security (Minimum Standards) Convention, 1952 (No. 102). According to the administrative data of the BPJS Ketenagakerjaan, currently 9 million workers are active contributors to the new pension scheme (launched in July 2015). Out of these, 1.7 million are women. The gap in coverage is partially explained by a persistent gap in the labour force participation rate.

Impacts

Number of persons with a better access to social protection (single registry, online application, one stop srvice)
Total: 9,000,000

2017 IDN104 Women , Disability , Actuarial valuation , Gender , Old-age , Model , Survivors , Projections , Social dialogue