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Unions plan protests as minimum wage hike disappoints

Unions had proposed wage hikes of between 5 and 20 percent, but were let down by the Manpower Ministry's recent announcement that wages would be raised by an average 1.09 percent nationwide, as per prevailing regulations.

Dzulfiqar Fathur Rahman (The Jakarta Post)
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Jakarta
Wed, November 17, 2021

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Unions plan protests as minimum wage hike disappoints Priorities: A protester holds a sign that reads “Overcome the virus, withdraw the omnibus [law]” during a protest last year outside the House of Representatives in Senayan, Central Jakarta. (JP/Seto Wardhana)

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abor unions are planning to take to the streets before the end of the year to protest against the monthly minimum wage hike for 2022, which is below expectations.

Unions had proposed wage hikes of between 5 and 20 percent, but were let down by the Manpower Ministry's recent announcement that wages would be raised by an average 1.09 percent nationwide, as per prevailing regulations.

The ministry noted that, as of Monday, 22 provinces had set next year’s minimum wage. Jakarta raised its minimum wage by 0.85 percent to Rp 4.45 million (US$313.26), the highest compared with the other provinces, while Central Java increased it by 0.78 percent to Rp 1.81 million, the lowest.

“If we look at the cost of daily necessities in a month, it does not make sense to have a wage below Rp 2 million,” Congress Alliance of Indonesian Labor Unions (KASBI) chairwoman Nining Elitos told The Jakarta Post on Tuesday, adding that KASBI planned to hold protests this month.

Similarly, the Indonesian Worker Union Confederation (KSPI), Indonesia Welfare Labor Confederation (KSBSI) and Indonesian Workers Union Association (Aspek) have declared their opposition to the latest minimum wage hike.

KSBSI and Aspek did not mention protest plans, but KSPI chair Said Iqbal said on Tuesday that his organization would hold a simultaneous street protest across the country in early December, possibly in the first week of December.

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Leading up to the national demonstration, unions also plan to hold demonstrations at regional leaders’ offices, and conduct work strikes, “effectively halting production at factories as a protest against the latest minimum wage decision,” he said.

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