17 Million Indonesian Workers to Receive Rp150,000 Wage Subsidy

3 months ago 44

TEMPO.CO, Jakarta - The government will distribute wage subsidies (BSU) to 17 million employees and contract teachers. Susiwijono Moegiarso, Secretary of the Coordinating Ministry for Economic Affairs, said the aid will be disbursed in June and July 2025.

This incentive is part of an economic stimulus package designed to boost growth in the second quarter of 2025. The Coordinating Ministry discussed distribution plans with technical ministries on Friday, May 23.

"At the coordination meeting, it was agreed that all economic stimulus programs will begin on June 5, 2025," Susiwijono said in an official statement on Tuesday, May 27.

The cash subsidy of Rp150,000 per month will go to workers earning a maximum of Rp3.5 million, or the regional minimum wage. Another 3.4 million contract teachers are also eligible. Although the aid covers June and July, it will be paid out in a single disbursement in June.

Deputy Finance Minister Suahasil Nazara said funding for the stimulus is ready, though the exact allocation is still being calculated. "We'll work out the numbers and determine the distribution channels," he said at the House of Representatives on Tuesday, May 27.

While Suahasil did not disclose the total budget, he confirmed it has been allocated in the State Budget. "Preparations are underway and we’ll announce the details soon," he said.

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