While living in Indonesia, there's definitely something everyone experiences at least once... and one of the things that everyone finds difficult at least once is when hired drivers, housekeeping staff, or nannies ask for an advance on their salary or ask to borrow money. If you had accumulated experience and firm principles, it might be different... but for those experiencing it for the first time, it's awkward not to lend money... and it's also awkward to lend it.
The reasons they ask to borrow money vary, and the situations also vary.
Common Types
- There is no rice at home.
- The motorcycle is broken.
- School fees are insufficient.
- There are no medical bills.
- Someone in the family has died.
- The roof has blown away and the house needs to be repaired.
These are the types of salary advance reasons I've experienced from employees (including company employees in addition to housekeeping staff). Usually, when such requests are made, there seems to be a pattern.
They don't make such requests immediately after starting work. Usually they start asking after about two months have passed. That must be when they feel they've been recognized for their work. They don't want to ask for large amounts of money upfront. They start with small amounts initially.
There is a way to give advances within the range of the salary that should be paid for the work, but usually when that happens, the salary on payday becomes less, and a vicious cycle begins. Perhaps in the case of housekeeping staff or nannies who live with you, you might be able to judge. Whether the reason for asking for the advance is true or not....
The problem usually arises with drivers. Because there's no reason to talk to each other except when getting in the car. So from my personal experience, the best way is to mention it upfront during hiring. "Salary advances are not possible while working with me." Even if you set that firmly at the start, there are people who still ask to borrow. You need to be firm. Don't worry about them quitting because they're doing well at work but you won't give them an advance. Those who would quit over getting an advance won't quit anyway, and those who would work won't quit just because you won't give them an advance.
In my case, an employee I had worked with for several years came to me saying, "The roof of my house was destroyed in a typhoon last time and needs to be repaired, but there's no way to get money until payday. Can you give me an advance?" But that case was different. Because their house was in a visible place to me. It wasn't a large amount either—it was 500,000 rupiah. They were going to buy a few panels. So instead of an advance, since there were years of working together, I asked them to peacefully repair the roof and let me know the cost, and I fixed their roof. If perfect trust is formed and you're willing to lend them, that's one thing, but if not... I'd like to say that cutting it off cleanly is a good way for your mental health.
