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Labors unions demand 30% wage increase
Seven labor unions went to City Hall on Friday and urged the Jakarta administration to organize a discussion, to be facilitated by the manpower agency, to revise the 2008 provincial minimum wage
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Seven labor unions went to City Hall on Friday and urged the Jakarta administration to organize a discussion, to be facilitated by the manpower agency, to revise the 2008 provincial minimum wage.
The unions were: Indonesia's Labor Union Association (Aspek Indonesia); Indonesia's Metal Labor Union (SPMI); the Federation of Labor Unions on Trade, Banking and Insurance (FSP NIBA); the Labor Solidarity Forum of Chemical, Energy and Mining (FSP KEP); the Labor Solidarity Forum of Metal, Electronics and Machine (FSP LEM); the Labor Solidarity Forum on Textile, Clothing and Leather (FSP TSK); and the National Labor Union (SPN).
J. Rusman of the FSP KEP said the labor unions demanded a 30 percent wage increase.
He said even though fuel prices only rose by 28.7 percent, the prices of food, transportation and other commodities had increased more than the fuel price increase.
Manpower and Transmigration Minister Erman Suparno has said on several occasions he would raise the minimum wage following the fuel price hike. Rusman said there was no clear instruction on the increase plan.
"We hope the wage will be increased to Rp 1.3 million (US$140) from the existing wage of Rp 972,000. What we really want is clear instructions on the wage increase, as the minister promised," Rusman said.
He said the workers had received the expected figure through allowances in their take-home pay, but they wanted the amount to be considered their main wage.
"We sent a letter to the Manpower and Transmigration Ministry on May 30, but we are yet to receive a response," he said.
Gibson Sihombing from Aspek Indonesia said the city administration refused to increase the wage partially because it would go against a regulation stipulating the provincial minimum wage should be raised once a year.
"Raising the provincial minimum wage more than once a year will not violate the regulation," he said.
"It would be illegal to raise it less than once a year, like once every two years or longer than that," he added.
City Secretary Muhayat disagreed, saying once a year was the maximum amount of times the wage could be increased.
"However, the wage can be increased through settlements between companies and employees, and they can be facilitated by the manpower agency," he said.
