THR 2021 must be paid in full, this is the entrepreneur’s comment

JAKARTA, KOMPAS.com – Indonesian Employers Association (Apindo) responding to the government’s decision that requires payment of holiday allowances (THR) in full this year, or no longer in installments like 2020.

This follows the issuance of a Circular (SE) of the Minister of Manpower Number M / 6 / HK.04 / IV / 2021 concerning the Implementation of Providing Religious Holiday Allowances in 2021 for Workers / Laborers in Companies.

Head of Advocacy for Apindo, Darwoto, said that along with the economic recovery, more companies were able to pay THR compared to last year.

Also read: Entrepreneurs Can Pay THR Late, But There Are Conditions

However, of course there are still companies that have not been able to pay the THR according to the provisions due to the Covid-19 pandemic.

“SE is nationally, of course many are able (to pay the THR in full) but there are also those who cannot. Now those who cannot afford this must be given space for them,” he told Kompas.com, Monday (12/4 / 2021).

He gave an example, such as the tourism and transportation sectors which have been heavily affected by the pandemic to date. Moreover, there is a ban on going home that the government has imposed on Lebaran this year.

“What was expected for homecoming or tourism transportation could grow, it didn’t,” he added.

Darwoto, who is also part of the National Tripartite Cooperation Institution (LKS) in discussing the THR with trade unions and the government, assesses that the SE issued does not accommodate companies that have not yet recovered.

Because the regulation states, companies that are still affected by the pandemic and are unable to provide THR according to the time specified in the legislation, namely D-7 before Lebaran, bipartite negotiations can be carried out between workers and employers to reach an agreement.

The agreement made in writing must also include the timing of THR payments, but on condition that the payment is the latest one day before Eid.

“This means that here there is an opportunity for companies to D-1, so from those in accordance with the rules of D-7 before Eid, they can go to D-1. The space is very narrow,” he explained.

In fact, according to Darwoto, at the Tripnas LKS meeting last week there was a mutual understanding that companies still affected by the pandemic could conduct bipartite negotiations so that it was agreed that the THR payment would not pass December 2021.

Also read: When is THR for PNS Liquid? This said the Ministry of Finance

“The three parties have agreed and agreed (in the meeting), but if the government decides like this (must pay in full before Eid), we will respect and respect it,” he said.

Previously, the Minister of Manpower Ida Fauziyah said that the full THR payment was decided considering that since the pandemic the government has provided various forms of support to entrepreneurs to survive.

“It takes a commitment from employers to pay THR in full and on time to workers or laborers,” Ida said in a virtual conference, Monday (12/4/2021)

As for overseeing the implementation of the 2021 THR, the Ministry of Manpower (Kemenaker) has formed a Task Force for Consultation Services and Law Enforcement of the 2021 THR Payment Implementation at the central level.

This task force will also be in the regions so that the implementation of the SE THR can run well and effectively and an agreement is reached that can satisfy the parties.

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