Lembaga Penyelidikan Ekonomi dan Masyarakat – Fakultas Ekonomi dan Bisnis – Universitas Indonesia

The Perks of Well Targeting Social Protection Program: The Impact of Kartu Prakerja Program to Mental Health

Juni 13, 2022

Author : Chairina Hanum Siregar, Muhammad Rifqi Aufari, Hamdan Bintara, Raka Rizky Fadilla, Wildan Al Kautsar Anky, Nia Kurnia Sholihah,
Lovina Aisha Malika Putri, Alin Halimatussadiah, and Jahen Fachrul Rizki

 

Executive Summary

Many workers in Indonesia experienced job loss and decreasing income during the pandemic of COVID-19. These phenomena have a tremendous impact on workers since they were affected by economic losses and worsened their mental health. To help the worker, the Government of Indonesia (GoI) is releasing Kartu Prakerja program (Pre-employment Card), an on-demand and self-targeting program. This study investigates the impact of Kartu Prakerja program on people’s mental health conditions. We use online survey data collected from 4000 respondents from all over Indonesia in August–September 2020. Our main independent variables are mental health-related variables, such as happiness, sadness, anxiety, and anger level. By using ordered logistic regression, this study shows a positive and significant relationship between people who are receiving Kartu Prakerja on their sadness, anxiety, and anger level. Receiving Kartu Prakerja could reduce their sadness, anxiety and anger level. Whereas it does not affect their happiness levels.

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