Ministry of Labor Encourages Companies to Benefit from the Super Tax Deduction (STD)
The Ministry of Labor (Kemnaker) encourages companies to utilize the Super Tax Deduction (STD) to strengthen the competencies of their personnel.
The STD is a tax benefit that offers companies a discount of up to 200 percent on gross income for costs incurred for vocational training, including training and internships.
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The Head of the Bureau for Labor Planning and Development (Barenbang Ketenagakerjaan) of the Ministry of Labor, Anwar Sanusi, made this announcement during a Ministry of Labor webinar titled “Optimizing the Use of the Super Tax Deduction (STD) in Training High-Quality and Competitive Personnel” in Jakarta.
In his presentation, Anwar emphasized that increasing personnel capacity and productivity forms an important foundation for a more competitive economy.
Therefore, the government continues to strengthen various personnel development programs, ranging from the National Vocational Training to the National Internship Program. According to Anwar, the introduction of the STD policy is a strategic step to stimulate the involvement of the business community in the development of staff competencies.
Thanks to this scheme, investment in training is no longer dependent solely on the government budget, but is also stimulated by the active participation of the private sector.
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“The development of staff competencies should no longer be viewed merely as an operational cost for a company. It is a long-term investment with a real impact on both the progress of the company and national economic growth,” says Anwar.
Despite the significant benefits, an analysis by the Center for Employment Policy shows that the utilization of STD by the industrial and commercial sectors (DUDI) is still suboptimal. The number of companies making use of this incentive is still relatively small.
Therefore, the Labour Development Agency (Barenbang Ketenagakerjaan) of the Ministry of Labour continues to develop strategies to strengthen the policy so that the utilization of STD becomes broader and the regulations better align with the needs of the business community.
Anwar hopes that this webinar will yield input and recommendations that will strengthen the effectiveness of STD implementation and encourage more companies to invest in the development of their staff’s competencies.
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“Creating a competitive workforce is essential for supporting economic growth. We need strong synergy between employees, companies, industry, education, and the government to ensure that production practices in Indonesia become more sustainable, efficient, and ready for global competition,” says Anwar. ***REL
