The Jakarta Post
Governor Joko 'Jokowi' Widodo has asked the city wage committee to finish its survey on decent living components in preparation for the 2014 wage hike.
'The results of the survey have yet to reach me. The wage hike decision will need to be made soon,' he said at City Hall on Wednesday.
The wage committee conducted its survey in August 2013 and reviewed the prices of goods and services, including basic commodities, rent and education fees, which are the elements taken into consideration when setting the wage hike. The two other elements are inflation and employers' financial capability.
The governor seemed reluctant to predict 2014's wage hike as the decision was now in the hands of the city wage committee.
The minimum wage in the city was raised by 38 percent to
Rp 2.2 million (US$220) this year from Rp 1,550,000 in 2012 and workers have
demanded the city administration raise the 2014 minimum wage by 68 percent to
Rp 3.7 million.
Employers have threatened redundancies or factory relocations if the city administration agreed to workers' demands.
Workers and unionists have threatened a national strike if the government declined to raise the regional minimum wage by 50 percent; phase out outsourcing; and issue the relevant regulations to ensure the free healthcare program went ahead.
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