The company's obligation to the workforce is to provide wages or salaries, overtime pay, leave, and severance pay. Wages or salaries must be given as employee benefits. Meanwhile, severance pay must be paid when terminating employment or employee layoffs. Overtime pay must be calculated as compensation for additional working hours, while the entitlement to leave must be fulfilled to provide opportunities for holidays, including maternity leave for female employees. Apart from some of the things that have been mentioned, actually there are no other obligations that must be borne by the company. Providing loan facilities is not an obligation, but only a company policy to help its employees. There are no rules that are violated by the company if it does not provide loans for its employees. There are several reasons why employees apply for loans or kasbon. The company has the right to give the proposed kasbon, or refuse it.
Types of Employee Loans at the CompanyIn general, the types of employee loans are divided into two, namely employee cash bills and soft loans. Employee cash bonus is the most common type of loan in every company. When employees need money urgently, they usually apply for kasbon. Kasbon employees do not have standard rules about the amount, but usually Kasbon employees should not exceed one third of the monthly salaryreceived by the employee. Meanwhile, soft credit is a term loan with low or even zero percent interest. This credit is usually given to employees who have a certain period of service, with a monthly salary cut credit payment system. The purpose of providing loans to employees, among others, is to support the welfare of employees and their families, as well as to support employee activities related to their work.
Reasons for Employees to Apply for Kasbon
There are some companies that provide employee loan facilities to increase loyalty. Here are some reasons employees apply for kasbon:
1. For the cost of children's education . The cost of education for children is getting higher. Some employees may have estimated school funds for their children, but in fact there are many other urgent expenses. That is what causes some employees to apply for loans to the Company.
2. For medical expenses or childbirth. The costs for treatment are often not prepared beforehand. Especially if an employee experiences a disaster or is seriously ill, the company cannot refuse to provide a loan. However, to overcome loans for this reason, companies can register their workers as members of BPJS Kesehatan or provide health facilities at the company.
3. Wedding expenses. Sometimes there are some employees who cannot control expenses for their wedding preparations so they have to borrow from the office.
4. Need additional funds for home renovation. Not all employees have a house in prime condition to deal with the uncertain weather when the rainy season comes. It could be that the monthly salary received by employees is not enough to renovate a house on a large scale. This employee cash fund is what is needed to improve the conditions of the house so that employee performance is not disturbed.
5. To buy or replace a vehicle . With various considerations, some employees choose to apply for loans to the company to buy or replace vehicles that are no longer suitable for use.
6. Requires funds for worship . Employees may apply for a loan to the office when they need a large enough bailout to fulfill their religious vocation, such as going on the pilgrimage or holding other religious ceremonies.
7. Need funds urgently because the debit card was swallowed by the ATM machine, lost, or damaged.
How to Reduce the Number of Employee Kasbon Submissions
What if the company starts to object to the many requests for cash from employees? There are several ways that companies can do to reduce employee loans to companies:
1. Encourage employees to make improvements to their financial plans.
For example, the company could bring in a financial planner for self-development or training sessions. Through this program, employees will be trained to make their financial goals, as well as what steps to achieve them.
2. Establish or create an emergency fund together.
A joint emergency fund comes from deducting a portion of the employee's salary every month. The amount of salary deductions to be included in the emergency fund can be estimated and mutually agreed. Lending SOPs can involve the approval of employees, so that HR functions as a facilitator and cashier only. As a form of concern, companies can also contribute to the emergency fund. Company contributions may be recorded as donational expenses.
3. Make stricter rules related to loan applications or kasbon.
When the loan fund budget has reached the maximum figure that the company can budget for, the repayment is not as smooth as expected. So companies need to review the rules for applying for employee loans. For example, by limiting the needs that can be given a loan, reducing the maximum loan amount, shortening the installment period, and so on.