TEMPO.CO, Jakarta - Labor Party President Said Iqbal objected to the planned increase in the 2023 minimum wage discussed at the Jakarta Wage Council meeting on Tuesday, November 23, 2022. He said workers will hold large-scale demonstrations prior to the announcement of the decision on November 28, 2022.

“[It will be held] simultaneously across Indonesia and will continue until the end of the year,” he said in a press conference, Wednesday, November 23, 2022.

The Labor Party asked for a 10.55% hike in the minimum wage based on the country’s inflation and economic growth. The figure is deemed realistic as the Finance Ministry predicted that this year’s inflation will reach 6.5%.

“The salary hike must be above the average, otherwise the rally will continue,” remarked Iqbal, who is also President of the Confederation of Indonesian Trade Unions (KSPI).

Previously, he was scheduled to meet with Acting Jakarta Governor Heru Budi Hartono to discuss the matter. But the meeting was canceled. “I don't know the reason,” Iqbal claimed.

The meeting was later rescheduled to after November 28, which Iqbal considered worthless because the next year’s minimum wage policy will be declared no later than November 28, 2022.

Labor Party Rejects 3 Proposals of Jakarta 2023 UMP

During Tuesday’s meeting of the Jakarta Wage Council at the City Hall, the provincial government proposed an increase of 5.6 percent or Rp4,901,738.

Meanwhile, the Indonesian Employers Association (Apindo) of Jakarta and the Jakarta Chamber of Commerce and Industry (Kadin) suggested a 2.62% or Rp4,763,293 and 5.11% increase or Rp4,879,053, respectively.

Said underlined that workers rejected the three proposals given the burden of the fuel price hike and that the figures are below inflation. Besides, Jakarta's decision might affect the minimum wage policy in other regions.

VANIA NOVIE ANDINI

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