Notes for Companies, THR Must Be in the Form of Money, Not Parcel

Dream - Prior to Eid al-Fitr, companies usually give Tunjangan Hari Raya (THR) to employees. However, there is one provision that needs to be noted, which is that THR can only be given in the form of money, using the currency of the Republic of Indonesia. It cannot be in the form of goods.

"Is it allowed to give THR in the form of groceries/parcels? Minaker emphasizes that it is not allowed, my colleagues. THR can only be given in the form of money with the provision of using the Indonesian rupiah currency," as quoted from Instagram @kemnaker, Thursday, April 6, 2023.

This policy is also regulated in the Minister of Manpower Regulation Number 6 of 2016 concerning Religious Holiday Allowance for workers in companies.

"Religious THR as referred to in Article 2 paragraph 2, shall be given in the form of money with the provision of using the currency of the Republic of Indonesia," Article 6 states.

THR Regulations

As quoted from Liputan6.com, the Ministry of Manpower (Kemnaker) has also issued regulations regarding the provision of THR in 2023, in the Circular Letter of the Minister of Manpower M/HK.0400/III/2023 concerning the Implementation of Religious Holiday Allowance (THR) in 2023 for Workers in Companies.

In the circular letter, all employers/companies are required to pay Religious Holiday Allowance to workers no later than 7 days before Eid al-Fitr 1444 H. In addition, the payment process must be paid in full and cannot be paid in installments.

The Circular Letter is in accordance with Article 5 of Minister of Manpower Regulation Number 6 of 2016, "Religious THR as referred to in paragraph 1 and paragraph 2, must be paid by employers no later than 7 days before the Religious Holiday."

Amount of THR

The amount of THR that eligible workers are entitled to varies, depending on their length of service. For workers with continuous service of 12 months or more, they will receive THR equivalent to 1 month's salary.

Meanwhile, for workers in 2023 with continuous service of 1 month but less than 12 months, they will receive proportional THR. The calculation is the number of months of service divided by 12 months, then multiplied by the amount of 1 month's salary.

Apologies, Honorary Employees Do Not Receive THR

Dream - Minister of State Apparatus Empowerment and Bureaucratic Reform (PAN-RB), Abdullah Azwar Anas, stated that all honorary employees will not receive Religious Holiday Allowance (THR) in 2023.

According to Anas, the government only regulates Religious THR for Government Employees with Employment Agreements (PPPK). "Not for honorary employees. So this is regulated by us, because it is for PPPK employees," said Anas.

Referring to Government Regulation (PP) Number 15 of 2023 concerning the Provision of Religious Holiday Allowance and Thirteenth Salary to State Apparatus, Pensioners, Pension Recipients, and Annual Allowance Recipients in 2023, government officials will receive THR.

"The government provides Religious Holiday Allowance and thirteenth salary in 2023 to State Apparatus, Pensioners, Pension Recipients, and Annual Allowance Recipients as a form of appreciation for their dedication to the nation and state, taking into account the state's financial capacity," Article 22 states, quoted on Friday, March 31, 2023.

In that article, honorary workers/employees are not mentioned as one of the recipients of Religious Holiday Allowance and thirteenth salary.

The state apparatus referred to in Article 3 are as follows:

a. Civil Servants and Prospective Civil Servants

b. PPPK

c. TNI Soldiers

d. Police Officers

e. Government Officials.

THR is also given to government officials. This is explained in paragraph 4, which states that the government officials who receive THR are as follows:

a. President and Vice President

b. Chairman, Vice Chairman, and Members of the People's Consultative Assembly

c. Chairman, Vice Chairman, and Members of the People's Representative Council

d. Chairman, Vice Chairman, and Members of the Regional Representative Council

e. Chief Justice, Deputy Chief Justice, and Supreme Court Justices, as well as Chairman, Vice Chairman, and Justices in all judicial bodies, except ad hoc judges.

f. Chairman, Vice Chairman, and Members of the Constitutional Court

g. Chairman, Vice Chairman, and Members of the Supreme Audit Board

h. Chairman, Vice Chairman, and Members of the Judicial Commission

i. Chairman and Vice Chairman of the Corruption Eradication Commission

j. Ministers and officials of ministerial level

k. Head of the Indonesian Representative Office abroad who holds the position of Extraordinary and Plenipotentiary Ambassador

l. Governors and Vice Governors

m. Regents/Mayors and Deputy Regents/Deputy Mayors

n. Other State Officials determined by Law.

Source: Merdeka.com