Rejecting Anies' Decision To Increase The DKI Jakarta UMP To 5.1 Percent, Apindo Files A Lawsuit To The Administrative Court: Because It Disrupts The National Business Climate

JAKARTA - Entrepreneurs who are members of the Indonesian Employers' Association (Apindo) reject Governor's Decree No. 1517 of 2021, which stipulates an increase in the DKI Jakarta Provincial Minimum Wage (UMP) in 2022 by 5.1 percent. Therefore, Apindo will take legal action by filing a lawsuit to the Business Administration Court (PTUN).

As is known, DKI Jakarta Governor Anies Baswedan has issued Governor Decree No. 1517 of 2021, dated December 16, 2021, which stipulates the DKI Jakarta UMP in 2022 at IDR 4,641,854, an increase of 5.1 percent from the previous 0.8 percent.

The chairman of the Apindo DKI Jakarta Provincial Leadership Council (DPP), Solihin, the Kepgub contradicts PP No. 36 of 2021 regarding Wages and has passed the deadline for issuing the 2022 UMP on November 21, 2021.

Solihin also assessed that the decision was also not in line with the recommendations of the DKI Jakarta Wage Council, in which 2 of the 3 elements of the DKI Jakarta Wage Council, namely Entrepreneurs and the Government, recommended that the amount of the increase in the UMP must comply with PP No. 36 of 2021.

"In response to the issuance of Governor's Decree Number 1517 of 2021, Apindo DKI Jakarta will file a lawsuit to the State Administrative Court (PTUN) against the DKI Jakarta Provincial Government," he said in a virtual press conference, Thursday, December 30.

Prior to the issuance of the DKI Governor Decree, Solihin said Apindo had asked the Ministry of Manpower to give a warning to Regional Heads who had violated the law on Manpower regulations, especially Wages.

"Because this has the potential to create an unfavorable climate for the business world and the national economy," he said.

In addition, Apindo also asked the Minister of Home Affairs Tito Karnavian to provide guidance or sanctions to regional heads, including the Governor of DKI Jakarta Anies Baswedan who did not understand the laws and regulations, resulting in the weakening of the government system.

Moreover, said Solihin, this is as mandated by Law No. 23 of 2014, Article 373, which essentially states that the central government will provide guidance and supervision to the administration of regional government.

"We urge all companies in Jakarta not to implement the 2022 DKI Jakarta UMP revision while waiting for the PTUN decision with permanent legal force, while still following the DKI Jakarta Governor Decree number 1395 of 2021," he said.