New Provisions on Workers Social Security Program

The Government has issued Regulation No. 84 of 2013 (“Amendment”) on the Ninth Amendment to Regulation No. 14 of 1993 on Organizing Worker’s Social Security Programs (“Regulation”).  The Amendment aims to synchronize the worker social security program with Law No. 40 of 2004 on the National Social Security System.The Amendment is relevant to corporations or individuals employing workers that are entitled to benefits under the worker’s social security program.With the issue of the Amendment, the health care benefit scheme (Jaminan Pemeliharaan Kesehatan)for workers will now be specifically regulated under a Presidential Regulation. Therefore, the Regulation will no longer cover provisions regarding health care for workers (Art. 2 (1a), Amendment)Consequently, content of  the Regulation regulating health care have been deleted by the Amendment. Specifically, these provisions are Article 2 (4), Article 6 (1) c, Article 8 (4) b, Articles 9 (1) d and (4), and Articles 33 to 46.The change under the Amendment reflects an adjustment to Law No. 24 of 2011 on the Social Security Agency (BPJS Law) that establishes the Worker Social Security Agency (“BPJS Tenaga Kerja”).Under the BPJS Law, BPJS Tenaga Kerja only provides a work accident benefit scheme (Jaminan Kecelakaan Kerja), an old age benefit scheme (Jaminan Hari Tua), and a death benefit scheme (Jaminan Kematian). BPJS Tenaga Kerja does not cover the health care benefit scheme.Health care for workers will be covered by the Health Security Agency (Badan Penyelenggara Jaminan Sosial Kesehatan– BPJS Kesehatan), starting 1 January 2014.The Amendment has been in force since 1 January 2014._YP