Workers' Unions on Unpaid THR Allowances: Stop the Corporate Greed

TEMPO.CO, Jakarta - Ahead of this year’s Ramadan, the Confederation of Indonesian Workers' Unions (KSPI) president, Said Iqbal, on Monday officially asked companies to no longer pay their workers’ Eid allowances or THR in installments.

He believed this method must no longer be used as the industry had already been granted multiple stimuli and tax allowances from the government. 

“Stimuli have been granted, credit relaxations, and car taxes were reduced. But why are workers pressured after being given these incentives?” Said Iqbal mentioned in a virtual press conference on April 5. “So, stop the corporate greed.”

Workers are planning to hold mass protests on April 12 against Eid allowances that are paid in installments. This protest is planned to be held simultaneously in 20 provinces nationwide starting from the capital city of Jakarta, West Java, Central Java, East Java, Bengkulu, Riau Islands, Riau, Lampung, South Kalimantan, Central Kalimantan, Grontalo, South Sulawesi, West Sulawesi, North Sulawesi, Maluku, NTB, and other provinces. 

The protests for a fair and full Eid allowances/THR payments will involve thousands of laborers across multiple sectors and are planned to be held offline and virtually due to safety concerns related to the pandemic. 

Iqbal said there were 24,451 workers who were handed unpaid leave and layoffs due to the indirect effects of the COVID-19 pandemic. Of the workers who were fortunate enough to keep their jobs, he said 10,000 of them had not received their full-share of THR allowances. He asserted it would be devastating if companies were permitted to pay these allowances in installments this year.

Read: KSPI Warns Companies to Pay Off Last Year's THR Allowances

FRANCISCA CHRISTY ROSANA