Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Ady Thea Dian Achmad, Andin Aditya Rahman
In addition to the usual reaction from labor unions, there has also been harsh criticism by academics against the recently issued Presidential Directive No. 9 of 2013 on the Policy to Determine Minimum Wages in Retaining Business Continuity and Improve Welfare.
Payaman Simanjuntak, a labor expert from Krisnadwipayana University, said that the Directive lacks a legal basis. According to Payaman, the Directive incorporates new concepts that are not supported by Law No. 13 of 2003 on Labor.
For example, the Directive provides for the possibility of two provincial minimum wages, an approach that does not existent in any labor system around the world. Consequently, Payaman asserts that the issuance of the Directive has no legal basis.
“The contents of the Directive have no legal basis, and it incorporates concepts that are not regulated under the Labor Law,” he explained during a discussion at the Ministry of Manpower and Transmigration in Jakarta on Monday.
Payaman is also of the view that the Directive was issued based on pressure from employers, turning a blind eye to the underlying principles for determining minimum wages. Based on these points, Payaman asserts that the Presidential Instruction can be appealed through negotiations with employers, or a case filed with the Supreme Court for legislative review.
“The Directive should be reviewed because it has no legal basis,” asserted the academic.
At the same event, Wahyu Widodo, Director of the Wage and Social Security Division at the Ministry of Manpower and Transmigration, asserted that the Directive is the result of discussions by the Government in response to Indonesia’s current economic conditions.
“This is so that provincial minimum wages support retaining business continuity and the welfare of workers,” he stated.
In the Directive, the Ministry of Manpower and Transmigration is ordered to regulate provisions for determining the minimum wage based on productivity, economic growth and other factors in accordance with Article 88 of the Labor Law.
The next step, Wahyu continued, is to encourage the minimum wage in every region to be sufficient to support the basic necessities required for a decent life as mandated by Article 89 (2) of the Labor Law. If every region satisfies this criteria, subsequent increases will be based on negotiations between employers and laborers.
The Directive also requires the simultaneous announcement of the minimum wage of every region on 1 November this year.
The purpose of the simultaneous announcement is to prevent regions from waiting to see what other regions set their minimum wage at.
“So there will be no peeking,” jested Wahyu.
The Government official also emphasized that the Directive will not supersede the functions of regional wage boards, which will retain their current duties as mandated by prevailing regulations.
Counter to this criticism, the Directive also provides support for the regional wage boards by instructing regional governments to provide extended budgets for their respective wage boards.
“Discussions at regional wage boards will continue,” he stated.
(hot/kc)
Ady Thea Dian Achmad, Andin Aditya Rahman
In addition to the usual reaction from labor unions, there has also been harsh criticism by academics against the recently issued Presidential Directive No. 9 of 2013 on the Policy to Determine Minimum Wages in Retaining Business Continuity and Improve Welfare.
Payaman Simanjuntak, a labor expert from Krisnadwipayana University, said that the Directive lacks a legal basis. According to Payaman, the Directive incorporates new concepts that are not supported by Law No. 13 of 2003 on Labor.
For example, the Directive provides for the possibility of two provincial minimum wages, an approach that does not existent in any labor system around the world. Consequently, Payaman asserts that the issuance of the Directive has no legal basis.
“The contents of the Directive have no legal basis, and it incorporates concepts that are not regulated under the Labor Law,” he explained during a discussion at the Ministry of Manpower and Transmigration in Jakarta on Monday.
Payaman is also of the view that the Directive was issued based on pressure from employers, turning a blind eye to the underlying principles for determining minimum wages. Based on these points, Payaman asserts that the Presidential Instruction can be appealed through negotiations with employers, or a case filed with the Supreme Court for legislative review.
“The Directive should be reviewed because it has no legal basis,” asserted the academic.
At the same event, Wahyu Widodo, Director of the Wage and Social Security Division at the Ministry of Manpower and Transmigration, asserted that the Directive is the result of discussions by the Government in response to Indonesia’s current economic conditions.
“This is so that provincial minimum wages support retaining business continuity and the welfare of workers,” he stated.
In the Directive, the Ministry of Manpower and Transmigration is ordered to regulate provisions for determining the minimum wage based on productivity, economic growth and other factors in accordance with Article 88 of the Labor Law.
The next step, Wahyu continued, is to encourage the minimum wage in every region to be sufficient to support the basic necessities required for a decent life as mandated by Article 89 (2) of the Labor Law. If every region satisfies this criteria, subsequent increases will be based on negotiations between employers and laborers.
The Directive also requires the simultaneous announcement of the minimum wage of every region on 1 November this year.
The purpose of the simultaneous announcement is to prevent regions from waiting to see what other regions set their minimum wage at.
“So there will be no peeking,” jested Wahyu.
The Government official also emphasized that the Directive will not supersede the functions of regional wage boards, which will retain their current duties as mandated by prevailing regulations.
Counter to this criticism, the Directive also provides support for the regional wage boards by instructing regional governments to provide extended budgets for their respective wage boards.
“Discussions at regional wage boards will continue,” he stated.
(hot/kc)