TEMPO.CO, Jakarta - The Financial Services Authority (OJK) has issued a new regulation in the insurance, guarantee, and pension fund (PPDP) sector by issuing OJK Regulation Number 34 of 2024 (POJK 34/2024). This provision regulates the development of human resource quality for insurance companies, guarantee institutions, pension funds, and special institutions in the PPDP sector.

Acting Head of the Literacy, Financial Inclusion and Communication Department of OJK M. Ismail Riyadi explained that human resources (HR) who have the right and specific capacity and competency according to the characteristics of the business implementation of each industry can play a significant role in supporting business sustainability amidst competition in the financial services sector. "With specific regulations regarding the development of the quality of human resources in the PPDP sector through POJK 34/2024, it is hoped that it will help realize an innovative, efficient, inclusive, trustworthy, strong, and stable financial sector," said Ismail in an official statement, quoted Monday, February 3, 2025.

Ismail explained that one of the efforts that can be made by the insurance, guarantee, and pension fund industries in supporting the development of the quality of human resources is through the provision of funds that are realized for improving work competencies or developing other competencies in technical and non-technical fields.

In POJK 34/2024, the provisions regarding the obligation to provide funds for the development of the quality of human resources are stated in Article 4. "To support the implementation of education and training of human resources, insurance companies, guarantee institutions, and pension funds are required to provide education and training funds from the current year's budget," reads Article 4 paragraph (2) in POJK 34/2024.

The regulation emphasizes that insurance companies, guarantee institutions, and pension funds must provide and realize annual HR education and training programs.

Not only that, this policy also regulates the nominal provision of HR development funds. It is stated in Article 4 paragraph (3), the amount of education and training funds must be provided by insurance companies, guarantee institutions, and pension funds for each financial year at least 3.5 percent of the total realization of employee expenses, directors, board of commissioners, and sharia supervisory board in the previous year.

Meanwhile, specifically for financial institution pension fund companies (DPLK), the provision of human resource education and training funds can be carried out by the founder. POJK 34/2024 will come into effect six months from the date of its enactment on December 23, 2024.

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