Indonesia Provincial Minimum Wage

By administrator | November 12, 2020 | Finance.
Indonesia Provincial Minimum Wage
Illustration: Indonesia Provincial Minimum Wage

Indonesia Provincial Minimum Wage. The Minister of Manpower, Ida Fauziyah. It has issue a circular asking the Governors to set the minimum wage value (UMP) in 2021. To be the same as the minimum wage value in 2020. Even so, there are still a number of regions that will continue to raise the UMP next year.

Responding to this, Ida said the decisions made by the governors. Had been considere wisely by looking at the continuity of business. In their regions and had been base on input from stakeholders. What about the 5 governors who set a higher wage than 2020. I think, I believe that when the governors raise the minimum wage.

They had consider wisely how the business sustainability conditions in their respective regions. I believe the governors also listen to labor stakeholders, Ida said after attending the One Employment Data Launching event, Thursday (5/11). Ida also said that the circular letter regarding the 2021 UMP.

It was intend to provide direction for the governor in setting the provincial minimum wage. According to him, the circular has gone through a long discussion with labor stakeholders which was carry out in the national wage council forum. Departing from the long discussion, finally a circular letter.

Provincial Minimum Wage in 2021

Indonesia Provincial Minimum Wage
Illustration: Indonesia Provincial Minimum Wage

Which was the core of the circular letter came out, asking the governor not to lower the provincial minimum wage, so the language would be uncomfortable if it did not increase, even though we actually hope the governors would not reduce wages below wages. minimum in 2020, explain Ida.

Ida also said that the use of the word minimum wage in 2021 and 2020 was chosen so that companies still consider wage protection for workers in the midst of the Covid-19 pandemic, while at the same time maintaining business continuity. Meanwhile, 5 provinces that continue to raise the 2021 UMP include DKI Jakarta, Central Java, Yogyakarta, East Java and South Sulawesi.

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