Institute for Research on Economics and Society – Faculty of Economics and Business – University of Indonesia

Labor Market Brief – October 2020 Edition

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The government, through the Job Creation Bill, is trying to accommodate workers' needs in the event of layoffs through Job Loss Guarantee (JKP). The bill also states that JKP is implemented to maintain a decent standard of living when workers/laborers lose their jobs. However, determining regulations related to JKP needs to pay attention to worker characteristics, minimum wages and price levels as well as the needs and skills of each type of work so that the amount and period of JKP provision will be more optimal.

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