President Joko ‘Jokowi’ Widodo aides have been taking the blame after he backtracked on a newly issued controversial pension fund regulation, as labor groups and politicians within his grand coalition delivered a strong backlash.

Jokowi has postponed the ceremonial launch of the unemployment benefits program (JKP), which was scheduled to kick off last Tuesday, amid strong criticism that has poured in over a recently issued regulation on the pension fund program (JHT) for workers.

Manpower Minister Ida Fauziyah signed in early February a ministerial regulation that would allow workers to claim their pension funds only when they reach 56 years of age. It is a significant change from the previous regulation enacted in 2015 that set no age threshold but stipulated that any pension fund would only be disbursed a month after the worker had been laid off or resigned

Source:
courtesy of THE JAKARTA POST

by Yerica Lai (The Jakarta Post)

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