Indonesia's employment landscape is undergoing rapid changes due to economic shifts and evolving labor market demands. One key support system is the Jaminan Kehilangan Pekerjaan (JKP), which offers financial relief, job training, and reemployment support during layoffs.
For both employers and employees, understanding available social security programs is essential. With new regulations now in place, employers must understand how the JKP program works.
This article covers everything you need to know about JKP and how to navigate recent updates to keep your business compliant.
In 2025, Indonesia is expected to face a significant increase in job losses. By March, over 35,000 workers had claimed JKP benefits, marking a double rise compared to the same period in 2024. Sectors such as manufacturing, retail, and services have been hit the hardest by ongoing cost-cutting and restructuring.
This surge highlights growing reliance on job loss protection as companies adjust to shifting economic conditions. For employers in Indonesia, the JKP program becomes crucial in supporting the workforce's transition from job loss to reemployment.
Jaminan Kehilangan Pekerjaan is a government-mandated job loss program administered by BPJS Ketenagakerjaan. It is designed to support workers who have lost their jobs through no fault of their own. The program offers a safety net by providing the following:
According to BPJS Ketenagakerjaan, the primary goals of Jaminan Kehilangan Pekerjaan are to:
This program does not replace severance pay or other legal benefits. Instead, it adds extra support to help workers during their transition. Employers contribute to this scheme indirectly through government subsidies without increasing company payroll expenses.
The JKP program offers several key benefits to eligible workers, helping them manage the transition after losing their jobs. These benefits include:
Based on the previous Government Regulation 37/2021, eligible workers receive a monthly allowance for up to six months. The amount is:
JKP provides access to an online platform managed by Indonesia's Ministry of Manpower, SIAPKerja. Through this platform, job seekers can search for openings, register for recruitment events, and receive career advice.
Laid-off workers can attend training programs organized by government-certified institutions. These programs focus on practical skills, helping individuals stay competitive in the labor market.
Read more: BPJSTK announced a new ceiling for pension contributions
Not all workers are automatically eligible for JKP benefits. To qualify, employees must meet specific criteria set by BPJS Ketenagakerjaan and the Indonesian government.
The Indonesian government has recently introduced key changes to JKP policy based on Government Regulation No. 6 of 2025. Effective February 7, 2025, this reform aims to support unemployed workers while balancing business sustainability.
The changes include cost adjustments and new responsibilities for companies operating in Indonesia. Here's the update breakdown below:
Under the previous regulation, JKP offered a tiered payout of 45% of wages for the first three months, followed by 25% for the next three. The updated policies replace this scheme with a flat 60% salary benefit for a period of six months.
However, benefits are capped based on a maximum salary of IDR 5 million, with a monthly payout limit of IDR 3 million.
To ease the financial burden on businesses, the government has lowered the employer contribution rate to the job loss program fund from 0.46% to 0.36% of an employee's monthly wage.
A new clause, Article 39A, ensures that laid-off employees remain eligible for JKP benefits even if their employer becomes insolvent or uncooperative.
Claiming Jaminan Kehilangan Pekerjaan benefits involves several steps, but the process has been made more efficient with recent digital integration.
Workers who meet the eligibility criteria can apply through the Ministry of Manpower's online system or visit a service office. Below is the step-by-step process to follow:
Workers should claim their JKP benefits within 3 months after being laid off. Applicants must gather the following documents:
After preparing the necessary documents, workers should register through the SIAPKerja platform using their national ID (NIK) and provide any additional personal information as required.
If your employer hasn't reported the layoff, submit it via SIAPKerja by entering job details, reason, company info, termination date, and uploading your termination letter.
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Complete the online claim form, sign a readiness-to-work statement, and provide your active bank account details.
BPJS verifies your claim within 3 days. Meanwhile, complete the self-assessment on SIAPKerja to get job and training suggestions. Approved applicants get notifications on benefits and training options.
Join training programs through SIAPKerja and receive monthly cash benefits directly to your bank account for up to 6 months.
The updated job loss program brings new responsibilities for both local and foreign businesses in Indonesia. Employers need to stay compliant while also actively supporting workforce transitions.
Regularly update employee data in BPJS to avoid delays and legal issues.
Include JKP contributions in payroll despite the lower rate.
Provide termination documents to help workers claim JKP. Companies remain liable for unpaid contributions even if bankrupt.
Foreign companies can partner with an Employer of Record (EOR) to handle HR, payroll, BPJS, and JKP compliance efficiently.
Read More: Why Choose HRO: A simple guide to HR outsourcing.
Indonesia's evolving labor landscape presents both challenges and opportunities for employers. Whether you're a foreign or local employer, understanding and complying with the JKP program is essential to protect your workforce and your business.
Ascentium Indonesia (An Ascentium Company) can help navigate these changes seamlessly. Our services include: