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Jakarta Post

North Sumatra labor unions reject minimum wage hike

  • Apriadi Gunawan

    The Jakarta Post

Medan   /   Wed, October 24 2012   /  10:22 am

Labor unions in North Sumatra have opposed the provincial administration’s decision to raise the 2013 provincial minimum wage by only Rp 105,000 (US$10.92), or from Rp 1.2 million to Rp 1,305,000 per month.

The workers, affiliated with various labor unions, threatened to hold a mass rally to protest the amount, saying it was far from their expectations of at least Rp 2 million.

North Sumatra Labor Council president Pahala Napitupulu said that raising the minimum wage to only Rp 1,305,000 for 2013 was inhumane because it would not cover workers’ daily living needs.

According to Pahala, the wage hike is regarded more as an adjustment and would not improve workers’ welfare because the government only adjusted the wage hike in accordance with the current prices of basic necessities.

Pahala predicted that prices of basic needs would further rise next year, ...