Indonesia distributes Rp$947 billion in wage subsidies

Eligible recipients will receive Rp$1 million for two consecutive months, and will have to be registered with the Workers Social Security Agency.

The Indonesian government has disbursed wage subsidies valued at Rp$947 billion (US$65.7 million) to subsidise the salaries of 947,499 workers and support businesses through the COVID-19 pandemic. 

This will apply to workers employed in areas under levels 3 and 4 public mobility restrictions, who will receive a wage subsidy of Rp$1 million (US$69) for two consecutive months. 

Recipients of the subsidy will be those who are registered with the Workers Social Security Agency, writes Antara News. The list will then be passed on to the Manpower Ministry for fund disbursement. 

READ: HR development key for Indonesia’s advancement

“Through this assistance, we hope that companies can rise from the impact of the pandemic, and workers can meet their basic needs,” the Directory-General of Treasury at the Finance Ministry said on its Instagram page. 

The government hopes that the subsidy can prevent massive layoffs, as employers are facing difficulties paying out their workers’ wages. 

Share this articles!

More from HRM Asia

Seven key HR and workplace trends for 2025

H3 HR Advisors’ 2025 Workplace Trends Report highlights seven critical shifts reshaping the future of work, from hybrid models to AI adoption and mental health support.

Subscribe to Our Newsletter

Stay updated with the latest HR insights and events,
delivered right to your inbox.

Sponsorship Opportunity

Get in touch to find out more about sponsorship and exhibition opportunities.