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Heru Budi Hartono Taps Jakarta 2023 Minimum Wage at Rp4.9mn

12 December 2022 21:25 WIB

TEMPO.CO, JakartaThe Jakarta provincial government issued Jakarta Governor Decree No. 1153 of 2022 concerning the 2023 Jakarta Provincial Minimum Wage or UMP. The new regulation sets Jakarta's UMP at Rp4,901,798 per month for each employee working less than one year.

Meanwhile, for employees working for more than one year, companies are required to compile and implement a wage structure and scale by taking into account their abilities and productivity as wage guidelines.

Jakarta Acting Governor Heru Budi Hartono disclosed the policy which will take effect on January 1, 2023, through the Jakarta Legal Documentation and Information Network (JDIH) which was accessed on December 12, 2022. As quoted from Antara, this policy was also followed by an increase in the welfare of workers with Jakarta ID, and that is not limited by the length of service.

The policies to improve workers' welfare include assistance in transportation services, provision of food at affordable prices, and personal costs in education. In previous years, the worker welfare policy was provided to help reduce living costs.

In the UMP determination, the government also lowered transportation costs in the city where one family can spend 30 percent of the total expenses and provided educational costs through the Jakarta Smart Card (KJP) for the children of workers.

Food at affordable prices, for example, could also be provided through cooperatives managed by labor associations and supplied by regional-owned market operator PD Pasar Jaya.

As previously reported, Head of the Jakarta Manpower, Transmigration, and Energy Agency Andri Yansah explained that the 2023 minimum wage increased by 5.6 percent by considering the 2022 UMP at Rp4.6 million as the reference or in accordance with Governor’s Decree No. 1517 of 2021.

However, the Association of Indonesian Trade Unions (ASPEK Indonesia) urged Heru Budi Hartono to revise the provincial wage policy. The association head Mirah Sumirat recommended the UMP to be increased by 10.5 percent to Rp5.1 million.

SUNU DYANTORO

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