APINDO and KSBSI Press Conference Criticize the Public Housing Savings Program Initiated by the Indonesian Government

ACV-CSCIASIA.ORG, JAKARTA – The Indonesian Employers’ Association (APINDO) and the Confederation of All Indonesian Trade Unions (KSBSI) agreed to reject and ask the government to review the Public Housing Savings Program (TAPERA). This was conveyed in a press conference held at the DPP Apindo office, Jakarta, Friday (31/05/2024).

General Chairperson of Apindo, Shinta W. Kamdani, said that the business world basically respects the government’s goal of ensuring worker welfare. As a representative of the business world, his party also consistently supports workers’ welfare by supporting policies for the availability of public housing.

“We consider Government Regulation (PP) No.21/2024 which was signed by President Jokowi on May 20 2024 as a duplication of an existing program, namely Additional Service Benefits (MLT) for workers’ housing which applies to participants in the BP Jamsostek Old Age Security (JHT) program . So we are of the view that TAPERA can be implemented voluntarily. “Private workers are not required to participate, because private workers can take advantage of the BP Jamsostek MLT program,” said Shinta.

APINDO and KSBSI in the press conference also agreed to ask the government to reconsider and review the implementation of TAPERA contributions.

Apindo and KSBSI hope that the government can further optimize BPJS Employment funds, which according to the PP are a maximum of 30 percent (Rp. 138 trillion). Because JHT assets are Rp. 460 trillion is considered to be able to be used for the MLT housing program for workers, considering that the availability of MLT funds is very large and it is considered that its utilization has not been maximized.

Meanwhile, KSBSI President Elly Rosita Silaban agrees with what Shinta W. Kamdani said, she thinks the government can actually maximize the use of BPJS Employment MLT funds which are intended for the home ownership program for workers who don’t have a place to live.

“For this reason, we ask the government to at least revise article 7 from mandatory to voluntary. The implementation of the Tapera Law does not guarantee that workers’ wages, which have been deducted from the age of 20 and up to retirement age, can get a house to live in. “Not to mention the work relationship system which is still flexible (contract work), this is still far from the hope of being able to improve the welfare of workers,” said Elly

“KSBSI considers the Tapera Law not urgent, so there is no need to force it to come into effect at this time,” added Elly.

Elly also suggested that the government not make participation in saving at Tapera an obligation but on a voluntary basis.

The press conference was also attended by the General Chairmen of 11 KSBSI affiliated Federations.