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Jakarta Post

Government sheds light on labor market reforms as unions take to streets

  • Marchio Irfan Gorbiano and Made Anthony Iswara

    The Jakarta Post

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Jakarta   /   Thu, January 16, 2020   /  08:10 am
The Jakarta Post Image
Labor with the People Movement (Gebrak) that consist of labor and student alliances march toward the House of Representatives Building in protest of the omnibus bill on job creation in Jakarta on Monday, Jan. 13, 2019. (JP/Moch. Fiqih Prawira)

The government maintains that its labor market reforms, which will be covered in the upcoming omnibus bill on job creation, will continue to protect labor as unions and students take to the streets against the proposed new legislation. Coordinating Economic Minister Airlangga Hartato clarified on Wednesday that contrary to the protests, the existing minimum wage and severance pay system would remain. In fact, the government would be implementing more protection measures for laid-off workers, he added. “There is a difference in perception on information” related to the omnibus bill on job creation between the government and labor groups, Airlangga told reporters at the State Palace. “There have been several issues that have been discussed with confederations.” Airlangga claimed to have had dialogue sessions with seven labor confederations and 28 other unio...