JAMSOSTEK Meaning and
Definition
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Jamsostek is an acronym that stands for Jaminan Sosial Tenaga Kerja, which is an Indonesian term meaning "Worker Social Security." Jamsostek is a social security program provided by the Indonesian government that aims to provide various benefits to employees in the country.
The purpose of Jamsostek is to ensure the welfare and protection of workers by offering them financial assistance and other forms of social security in the event of certain contingencies. This includes benefits such as health insurance, retirement savings, death benefits, disability benefits, and workplace injury compensation.
Under Jamsostek, both employers and employees are required to contribute a certain percentage of the employee's salary to the program on a monthly basis. These contributions are then used to fund the various benefits provided by Jamsostek.
Employers play a vital role in implementing Jamsostek by facilitating the deduction of the required contributions from their employees' salaries and forwarding them to the relevant authorities. In return, employees gain access to a range of important social security benefits, which not only support them in times of need but also provide a safety net for their families.
Jamsostek is governed and regulated by the Ministry of Manpower and Transmigration in Indonesia, ensuring that it operates in accordance with the country's labor laws and regulations. It serves as an important instrument in protecting the welfare and security of workers across industries in Indonesia.
Etymology of JAMSOSTEK
The word "Jamsostek" is derived from the Indonesian acronym "Jaminan Sosial Tenaga Kerja", which translates to "Social Security for Workers" in English. Jamsostek was the former name of the social security program in Indonesia, which provided various benefits such as healthcare, insurance, and pension for workers.
