The West Java government has decided to scrap the minimum provincial wage and let each regency and municipality set their own minimum monthly wage.
“The provincial government will not determine the minimum wage from 2010 onward. Discussion and policy concerning wage standards have now been delegated to the remuneration council in each regency and municipality,” Governor Ahmad Heryawan was quoted by Antara on Wednesday.
He added the regencies and municipalities could start discussing the minimum wage for 2010 under a tripartite mechanism without having to wait for a directive from the provincial government.
“We encourage them to begin these talks as soon as possible so that the minimum wage can be approved 40 days before Jan. 1, 2010, at the latest in accordance with the law,” he said. The regional minimum wage must be endorsed by the governor.
Ahmad said his administration had learned from other provinces that had already revoked the provincial minimum wage such as East Java and Central Java. He added he had never come across any region that set a minimum wage below the provincial standard.
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