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View all search resultsThe ministry has instituted a new wage of Rp 700,000 for inmates participating in work and empowerment programs, just above the urban poverty rate and a massive increase compared to the previous rate of Rp 50,000-100,000.
The government’s announcement last week that it will increase the minimum wage by 6.5 percent next year has been met with quiet acquiescence, with some labor groups still mulling plans to call off nationwide strikes and employers concerned with the impending impact on overhead costs and competitiveness.
The Manpower Ministry has confirmed that Government Regulation (PP) No. 51/2023 will not be used as a reference for determining the 2025 provincial minimum wage (UMP), which is set to be announced before the end of December.
The employers' association has urged immediate action from the government and the House to overhaul the 2003 Manpower Law as ordered by the Constitutional Court, warning of the adverse impacts on the investment climate amid ongoing vulnerability in labor-intensive sectors.
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