1May 2016

Social Protection and Employment

Opportunities

Dr. Bambang WidiantoExecutive Secretary of the National Team for

the Acceleration of Poverty Reduction (TNP2K)

Office of the Vice President of

The Republic of Indonesia

22

43.5%

17.8%

27.0%

12.0%

73.0%

14.4%10.8%

0.6%0%

10%

20%

30%

40%

50%

60%

70%

80%

Primary School & Below

Junior High Senior High & Vocational

Diploma & University

Total Population

40 % Lowest

Indonesian Workforce By EducationFebruary 2016

Source: Total Population from BPS February 2016; 40 % Lowest from Unified Data 2015

3

Monthly Consumption per Capita (IDR)

Poor and vulnerable communities make up

40%of the population

Pop

ulat

ion

Source: Susenas (2010)

14.15%below

the povertyline

200,000 400,000 600,000 800,000 1,000,0000

4

Poverty & Inequality Reduction Strategy

Increase income

Reduce Burden Targeted Social Assistance Program:

• Healthcare • Education Assistance• Conditional Cash Transfer• Rice for the Poor

1

2

5

Social Protection

Social Assistance Social Insurance

• Temporary unconditional cash transfer• Conditional Cash Transfer • Rice for the poor

• Social Protection for Worker (Jaminan Sosial Tenaga Kerja)

The Social Protection Programs In Indonesia

• National Health Program (Jaminan Kesehatan Nasional)

6

Lessthan

of poor people receive BSM10%

Household Expenditure (Consumption) per Decile

Percent of 6-18-year-olds that receive BSM

1 2 3 4 5 6 7 8 9 10

5

0

7

Targeting Options• Means-testing, although this requires high-quality data that is not

available in many countries and may be expensive to put in place.

• Geographical targeting, whereby transfers are provided to everyone living in Community-based targeting, n areas where there is high incidence of poverty.

• Which uses community structures to identify the poorest members of a community or those eligible according to agreed criteria.

• Providing benefit to those recognized as belonging to a specific vulnerable category of the population; and

• Self-targeting such as in work program that offer a below-market wage, based on the logic that individuals choose to opt to the program.

8

Examples of a Specific Vulnerable Groups

Bottom Poor (Fakir Miskin)

Orphans, Street Children

Homeless Without Support

Isolated Tribal Community

Mentally Ill

Displaced Population

1 |

2 |

3 |

4 |

5 |

6 |

9

Government provides free small bottles (3 kg) of LPG to poor households, small restaurants, food vendors and other micro business establishments

Self Targeting: Kerosene Conversions to LPG

Bill

ion

Lit

res

59.7

39.3 36.8

1.5

0

10

20

30

40

50

60

70

2005 2008 2009

Fuel Consumption

Conversion from Kerosene to LPG

(Estimation)

1010

Total Household25.771.493Total Family

27.046.374

Utilization of Unified DataFor Poverty Reduction Program

Total Population

93.026.921

Unified Data Covers 40 % lowest social economic population

Poverty Line (Sep 2015)

BENEFICIARIESKPS/KKS/KIP/Rastra

11,13 %

40%

25%

Inclusion Error

Exclusion Error

BENEFICIARIES BANTUAN IURAN (PBI) JKN

35%

PROGRAM KELUARGA HARAPAN (PKH)

8%

UNIFIED DATA*

11

Given to 25% of the poorest households or

Social Protection CardKartu Perlindungan Sosial (KPS)

15.5 million disadvantaged families.Valid until December 2014

12

FAMILY MEMBERS• Memeh (NIK: 3171066406440002) born in Tasikmalaya,

24/6/1944Wife, 70 y.o., married, never schooled, Member of BPJS PBI

• Idawati (NIK: 3171064205690003) born in Jakarta, 2/5/1969Child, 45 y.o., widowed, not in school anymore, Member of BPJS PBI

• Adam Noval (NIK: 3171061506910001) born in Jakarta ,15/6/1991Grandchild, 23 y.o., not married, not in school anymore, Member of BPJS PBI, Labour

• Dwi Fadli (NIK: 3171061809960004) born in Jakarta, 18/9/1996Grandchild, 18 y.o., not married, junior high school, Member of BPJS PBI

• Natasha Caroline (NIK: 3171066808020003) born in Jakarta, 28/8/2002Grandchild, 12 y.o., not married, elementary, Member of BPJS PBI

HOUSING CONDITIONS• House ownership • Wall type • Wall quality • Roof type • Roof quality

ASSET OWNERSHIP• Car• Motorcycle • Refrigerator• 12 kg Gas Tank• Mobile phones in HH

• Source of drinking water•Methods to obtain drinking water•Main Lighting • Source cooking fuel• Sanitation

: Self-owned: Wall: Bad: Tile: Bad

: Pumped well : Do not buy: PLN Electricity: Kerosene : Individual

: Don’t own: Don’t own: Don’t own: Don’t own: Don’t own

Welfare decile : 1

•NIK•Family Card Number•KKS Number•Regional code

Ijo•Province•District•Sub-district•Village•Address

: 3171061012320001: 3171060701091802: 373INS10310A05: 3173020001

Head of HH Name

Level of education : Not schooledOccupation: Does not workMember of BPJS PBI: Yes Fingerprints: ✔ | Iris: ✔ | Unique Identity: ✔

Unified Database

•Born in Depok, 10/12/1932

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Out of Work Population Age 15-<60 Year

KABUPATEN KLATEN126.759

KABUPATEN KEBUMEN139.446

KABUPATEN BANYUMAS215.933

KABUPATEN CILACAP204.647

KABUPATEN BREBES297.513

KABUPATEN TEGAL198.283

KABUPATEN PEMALANG203.088

KABUPATEN DEMAK138.423

KABUPATEN JEPARA126.041

KABUPATEN PATI148.802

14

KABUPATEN WONOSOBO6.085

KABUPATEN PEKALONGAN7.146

KABUPATEN PEMALANG11.455

KABUPATEN TEGAL9.654

KABUPATEN BREBES18.904 Anak

KABUPATEN CILACAP7.027 Anak

KABUPATEN BANYUMAS7.571

KABUPATEN BANJARNEGARA6.695

Out of School Children Age 13-15 Year

KABUPATEN GROBOGAN7.119

1515

School Participation & Budget Allocation for EducationNorth Sumatera Province, 2014

Source : BPS, Ministry of Finance

Districts with poverty level higher than national and provincial level

Districts with poverty level between national and provincial level

Districts with poverty level lower than national and provincial level

School Participation Level (APM) for Junior High (%)

Bud

get

Allo

cati

on F

or E

duca

tion

(%)

16

School-based Household-based

Utilization of UDB for EducationProgram Improvement

Before 2013

20.3 million students (2016)

17

Using KPS to Improve Targeting Accuracy for BSM

Source: Susenas 2009, SPS TW IV 2013 and TW I 2014

Cove

rage

of B

enef

icia

ries

(%)

Elementary School Middle School30

25

20

15

10

5

0

School-basedHouseholds-based (March 2014)

School-basedHouseholds-based (March 2014)

1 2 3 4 5 6 7 8 9 10Co

vera

ge o

f Ben

efic

iari

es (%

)

30

25

20

15

10

5

01 2 3 4 5 6 7 8 9 10

18

100 100 100 100 100 100

71.1 70.5

55.5

40.6 40.3

20.7

0.8 0

10

20

30

40

50

60

70

80

90

100

1 2 3 4 5 6 7 8 9 10 11 12 13

(% A

ge

6-2

5 Y

ear

Year in school

Kuantil 1 Kuantil 2

100 100 100 100 100 100

73.3 72.7

58.2

45.0 42.6

23.2

1.1 0

10

20

30

40

50

60

70

80

90

100

1 2 3 4 5 6 7 8 9 10 11 12 13%

Ag

e 6

-25

Yea

r Year in school

Kuantil 1 Kuantil 2

Source : Susenas March 2013 and March 2014

2013 2014

School Drop Out Level

Drop out level decreaseSchool participation increase

19

Impact of PKH on School Enrolment:Comparison with CCTs of some other countries

Impact evaluation for PKH program utilized RCT design, involving 180 subdistricts for treatment group and 180 subdistricts control groups,

covering 18,000 households

Junior Secondary SchoolPrimary School

PKH

Indonesia

PantawidPamilyang

Filipina

FamiliasEn AcciÓn

Colombia

Progresa

Mexico

PKH

Indonesia

PantawidPamilyang

Filipina

FamiliasEn AcciÓn

Colombia

6

5

4

3

2

1

0

5

4.5

4

3.5

3

2.5

2

1.5

1

0.5

0

2.3

4.5

2 1.8

4.43.9

5

20

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