The Workers Social Security Agency (BP JAMSOSTEK) is focusing on increasing participation from micro, small and medium enterprises (MSMEs) to reach its target of five million workers by 2021.
There is a potential of around 60 million people in the MSMEs sector who could be attracted to become active participants in the informal sector, said BPJAMSOSTEK supervisory board member Subhan Gatot here on Monday.
“Unfortunately, involving MSMEs as participants is not easy as they don’t understand social security. In the Labour Laws itself, they were not even covered,” he noted while greeting participants at the commemoration of National Customer Day at the BPJAMSOTEK Palembang branch office.
However, after the Job Creation Law was enacted, the MSME sector was included in the protected category of non-formal workers, he said.
The government is focusing on the MSME sector because various countries that are already better at implementing social security actually take advantage of this sector, he explained. Indonesia is considered far behind compared to Singapore and Malaysia in this regard, he said. Therefore, to attract the participation of MSME actors, BPJAMSOSTEK will carry out various strategies, including involving associations, he informed.
He cited the example of Palembang city, which is estimated to have thousands of SMEs engaged in the pempek culinary sector and songket manufacturing.
“I once communicated with songket sellers. Apparently, they didn’t know that there was a Work Accident Insurance and Death Benefit program whose installments were only IDR16 thousand per month,” Gatot said.
To increase awareness on social security among MSME actors, BPJAMSOSTEK has collaborated with Indonesian Entrepreneurs Association of South Sumatra, he added.
Meanwhile, head of the BPJAMSOSTEK Palembang branch office, Ikbar Saloma, said that out of the 6,909 active companies in the city, 5,800 were MSMEs.
“Indeed, the MSMEs sector has great potential, but we need a special strategy to involve them. What is certain is that we must actively cooperate with them,” he remarked.
Source: Antara News