UMP Increase of 8.51% Still Deemed Inadequate by Labor Stakeholders

  • The Minister of Manpower recently issued Decree No. 308 of 2019 which sets a provincial minimum wage (“UMP”) increase of 8.51% for 2020. This percentage was decided based on UMP calculations which were originally addressed under the highly contentious Regulation of the Government No. 78 of 2015 on   Wages (“Regulation 78/2015”).
  • In response to this increase, the President of the Association of Labor Unions (Asosiasi Serikat Pekerja – “Aspek”), Mirah Sumirat, has asserted that this UMP is small in comparison with recent increases in the prices of goods and other living expenses, including increases in Social Security Agency for Health (“BPJS Kesehatan”) premiums, electricity tariffs and water tariffs.
  • Mirah insists that the latest UMP increase should lie within the 18% – 20% range, figures which were generated from the results of a survey which was conducted at five traditional and modern markets located across several regions of the country. Labor stakeholders are thus once again urging the government to revise Regulation 78/2015.
  • For more on this story, see Hukumonline: “Upah Minimum Naik 8,51 Persen Tahun 2020 Tidak Ideal?”.
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  • The Minister of Manpower recently issued Decree No. 308 of 2019 which sets a provincial minimum wage (“UMP”) increase of 8.51% for 2020. This percentage was decided based on UMP calculations which were originally addressed under the highly contentious Regulation of the Government No. 78 of 2015 on   Wages (“Regulation 78/2015”).
  • In response to this increase, the President of the Association of Labor Unions (Asosiasi Serikat Pekerja – “Aspek”), Mirah Sumirat, has asserted that this UMP is small in comparison with recent increases in the prices of goods and other living expenses, including increases in Social Security Agency for Health (“BPJS Kesehatan”) premiums, electricity tariffs and water tariffs.
  • Mirah insists that the latest UMP increase should lie within the 18% – 20% range, figures which were generated from the results of a survey which was conducted at five traditional and modern markets located across several regions of the country. Labor stakeholders are thus once again urging the government to revise Regulation 78/2015.
  • For more on this story, see Hukumonline: “Upah Minimum Naik 8,51 Persen Tahun 2020 Tidak Ideal?”.
......

Subscribe to read more legal analysis.

Hukumonline Pro Intelligence

Platform AI hukum terpercaya sebagai solusi komprehensif riset Anda

professionalprofessionalProfessional Solutions
professionalprofessionalUniversity Solutions
*Syarat dan ketentuan berlaku
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