Indonesia prepares pension scheme for athletes after retirement

Jakarta (ANTARA) - The Ministry of Youth and Sports is preparing a pension scheme for athletes as part of efforts to provide long-term financial security and social protection after their competitive careers end.

Youth and Sports Minister Erick Thohir said athletes typically retire at a much younger age than workers in most other professions, making retirement protection an important government priority.

"Many athletes may continue competing until they are around 40 years old, but compared with many other professions where people retire between the ages of 50 and 60, athletes retire much earlier. That is why they need a pension fund," Erick told a press conference on the government's Quick Win Program at the Government Communications Agency (Bakom) in Jakarta on Thursday.

He said the ministry is still finalizing the pension scheme, with an emphasis on sustainability and transparency, adding that more time is needed before it can be implemented because the government does not want to rush the process.

According to Erick, one of its main priorities is ensuring the pension fund is managed in an accountable manner and avoids the misuse of retirement funds seen in previous cases.

To strengthen governance, the ministry is working with the Attorney General's Office, the Financial and Development Supervisory Agency (BPKP), and sports experts in designing the scheme.

"We must ensure this pension fund is not misappropriated. There have been too many cases in the past where pension funds were misused," said Erick, who also serves as chairman of the Football Association of Indonesia (PSSI).

He noted that designing a pension program for athletes presents different challenges from conventional retirement systems.

Most pension programs are financed through regular payroll deductions, whereas athletes generally do not earn a fixed monthly income like formal-sector employees. As a result, the ministry is developing a funding model that can remain financially sustainable over the long term.

The government is also studying best practices in athlete pension management from countries including Malaysia and India before determining the most appropriate model for Indonesia. Erick said the initiative is in line with Law No. 11 of 2022 on Sports, which guarantees social security and equitable recognition for Indonesian athletes.

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Translator: Donny, Azis Kurmala

Editor: M Razi Rahman

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