Social security is the mandated by the 1945 Constitution, Article 28 H paragraph (3), which states that everyone has the right to social security that allows for the development of oneself as a dignified human being, then this was followed up with Law Number 40 of 2004 concerning the National Social Security System.
As for the implementation (legal force) of social security, then it was followed up by Law Number 24 of 2011 concerning the Social Security Administering Body, which regulates 2 (two) types of social security administering bodies (Badan Penyelenggara Jaminan Sosial (BPJS)), namely BPJS of Health and BPJS of Employment. BPJS of Health organizes the National Health Insurance program, while BPJS of Employment implements the Work Accident Insurance (Jaminan Kecelakaan Kerja (JKK)), Death Insurance (Jaminan Kematian (JKM)), Old Age Insurance (Jaminan Hari Tua (JHT)), and Pension Insurance (Jaminan Pensiun (JP)) programs.
In its development, there is issued Law No. 6 of 2023 concerning the Stipulation of Government Regulation in Lieu of Law Number 2 of 2022 concerning Job Creation into Law (UUCK), which has changed the provisions for social security, including Law Number 40 of 2004 concerning the National Social Security System and Law Number 24 of 2011 concerning the Social Security Administering Body, in which case there is an addition to the social program, namely Job Loss Insurance (Jaminan Kehilangan Pekerjaan (JKP)), so that overall the social security program includes National Health Insurance, Work Accident Insurance (JKK), Old Age Insurance (JHT), Pension Insurance (JP), Death Insurance (JKm), and Job Loss Insurance (JKP), where Job Loss Insurance is social security provided to employees who get lay-off by Company, which the benefit of JKP are cash benefits, access to job market information, and Job Training.
With the addition of the JKP program in the two laws, its implementation is then regulated in Government Regulation No. 37 of 2021 concerning the Implementation of the Job Loss Insurance Program, as amended by Government Regulation No.6 of 2025. The provisions regulate related to the purpose of JKP, participant requirements, contributions, benefits, until the sanctions.
As stated in the General Explanation of Government Regulation No. 37 of 2021 concerning the Implementation of the Job Loss Insurance Program, it is stated that the rationale for the JKP program is as a result of the absence of social security for employees who get lay-off by company, so that to meet their daily living needs they use JHT benefits. Therefore, when the employees have no any job, it will certainly have an impact on their social status facing economic risks due to the loss of income to maintain a decent life for themselves and their families. Thus, the implementation of JKP aims to maintain a decent standard of living employee lose their jobs or because of Termination of Employment as motivation to work again or try to be as independent entrepreneur.
The main requirements for employee who are entitled to receive JKP benefits are employees who work in large and medium businesses that have been registered in the JKN, JKK, JKM, JHT, and JP programs, while employees who work in micro and small businesses are registered at least in the JKN, JKK, JKM, and JHT programs.
author: Wilopo Husodo
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