Social security

Indonesian inspiration: Lessons for Lao People’s Democratic Republic on social security

Lao delegation visits Indonesia to learn from the social security system in ASEAN’s largest country.

Press release | Vientiane, Lao People's Democratic Republic | 31 August 2023
VIENTIANE, Lao People's Democratic Republic (ILO News) – Government officials from Lao People’s Democratic Republic and civil society groups, with support from ILO and the Republic of Korea, travelled to Indonesia to find out more about its social security system as Lao People's Democratic Republic embarks on an amendment of its Social Security Law.

During the study visit, which took place on 21-24 August, officials from the Lao Social Security Organisation, Lao Federation of Trade Unions, Oxfam in Laos and civil society groups learned about social security system planning, management, administration, information technology, and communication from Indonesia’s Social Security Administrator for Employment (BPJS Ketenagakerjaan).

Madam Bouahome Phommachan shares about social security in Lao People's Democratic Republic. © ILO

Madam Bouahome Phommachan, Deputy Director General, Lao Social Security Organisation and Head of the Lao Delegation, emphasized the importance of the visit: “Key takeaways will help Lao People’s Democratic Republic strengthen its social security system to expand coverage in collaboration with multipartite partners.”

“The Lao People’s Democratic Republic was interested in learning about the use of digital technologies, design of employment injury benefits, and good governance and administration of the social security system from Indonesia”, added she.

LSSO and CSOs from Lao People's Democratic Republic visit BPJS Ketenagakerjaan office. © ILO
The visiting Delegation was welcomed by Mr Pramudya Iriawan Buntoro, Director of Strategic Planning and Information Technology, BPJS Ketenagakerjaan, who expressed his appreciation of the visit to BPJS Ketenagakerjaan, which he hoped could be a “model. He explained that Indonesia is currently implementing five schemes for wage-earning workers—covering death, unemployment, employment injury, old age, and pension security; and three schemes for non-wage-earning workers to cover death, employment injury, and old age security. Wage-earners are mostly already covered. But non-wage-earners, also known as the informal sector, accounts for 70 per cent of the workforce and is the focus of their current efforts to expand coverage.

Officials from BPJS Ketenagakerjaan shared their knowledge of Indonesia’s legal framework, management and governance, and the employment injury and unemployment insurance schemes.

Loveleen De explains the importance of exchanging knowledge on social security. © ILO
In recent years, Indonesia has rapidly expanded coverage of its social security scheme among non-wage-earning workers—achieved through a mix of improved service delivery through physical and online means, as well as tailored communications and information management. The delegation learned about these efforts through sharing sessions, observation of operations at a BPJS Ketenagakerjaan branch in Jakarta, and demonstration of the website and “JMO” mobile app.

“Digital transformation is a key feature of the operations of BPJS Ketenagakerjaan as it strives towards better and higher client engagement,” said Loveleen De, Social Protection Programme Manager, ILO.

“The visit offered valuable lessons on providing improved services to beneficiaries through efficient management of its IT system and the JMO app, including how to submit claims and make complaints. Delegates also visited the Data Centre to enhance their practical learning", she added.

The study visit was financially supported by the ILO/Korea Partnership Programme “Supporting the implementation of sustainable social protection floors for workers and their families in ASEAN – Phase 3”. It also received support from the ILO-Japan Project “Promoting and Building Social Protection in Asia – Phase 4”.