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Jaminan Kehilangan Pekerjaan (JKP) - Inputs to the Government of Indonesia

The Government of Indonesia has introduced an (un)employment benefit scheme through the Jaminan Kehilangan Pekerjaan (JKP) programme that is based on social insurance principles. Since the initial development of policy options for the programme design, the ILO have been providing technical inputs through discussions with the Directorate of Social Protection within the Ministry of Manpower, BP Jamsostek, and other relevant institutions. In order to facilitate evidence-based discussions, the ILO makes reference to relevant international standards and practice, actuarial and other studies that have been undertaking, namely a valuation of projected costs and feasibility studies for programme implementation.

Since its foundation in 1919, the ILO has developed a set of normative instruments related to social security systems, embodied in International Conventions and Recommendations covering all areas of social security, including unemployment benefit systems. These standards are agreed collectively by governments, employers and workers, and constitute a guide in terms of principles both for policy design and implementation of social security systems. The technical contributions provided by the ILO are based on these standards.

Here is the brief summary (in presentation format) of how social insurance principles underlying the scheme can be applied in its design, financing, management and delivery. The ILO believes that if Government Regulations on JKP follows these principles as set out in the summary, the programme will be effective, sustainable and provide adequate benefits.

 The ILO is committed to providing continuous support to the Government with regard to design, implementation and costing of the programme through the ILO-Fast Retailing project.

Presentation

Jaminan Kehilangan Pekerjaan (JKP) - Inputs to the Government of Indonesia