JAKARTA - The Indonesian Chamber of Commerce and Industry (Kadin) supports the steps taken by the Indonesian Employers' Association (Apindo) to submit a judicial review of the Regulation of the Minister of Manpower (Permenaker) Number 18 of 2022 concerning the determination of the 2023 minimum wage (UMP) to the Supreme Court (MA). Deputy Chairman of the Indonesian Chamber of Commerce and Industry for Regional Autonomy Development, Sarman Simanjorang, admitted that he was sure that the Supreme Court would win a judicial review lawsuit related to Permenaker Number 18 of 2023 submitted by entrepreneurs.

The reason, explained Sarman, is that the position of Government Regulation (PP) Number 36 of 2021 is much higher than that of Permen Number 18 of 2022.

"My feeling is impossible to lose. My feeling is yes. Because after all, the PP is higher than the Permenaker," he said at the Kadin Tower, Kuningan, South Jakarta, Tuesday, November 29. Sarman said, PP Number 36 of 2021 is the government's official product in determining the UMP year-on-year.

Moreover, he said, the PP was made based on joint negotiations between the government, employers and labor unions.

Sarman also regretted the sudden release of the Minister of Manpower Regulation Number 18 of 2022. In fact, it did not go through the negotiation process.

"The government makes rules above the rules. Entrepreneurs will be very concerned if the determination of the UMP is in accordance with existing regulations and regulations. Because we want conducive business conditions and investment. And one of them is legal certainty," he said.

"It (PP) has only been 1.5 years and we decided that together there are negotiations, there are elements of entrepreneurs, the government and this beautiful set is only 1.5 years old. Suddenly the Minister of Manpower 18/2022 came out, for us it was very strange. It did not go through the negotiation process," he continued.

Therefore, Sarman considered it natural for entrepreneurs, in this case Apindo, to conduct a material test at the Supreme Court.

The reason, said Sarman, is that those who know the ability to pay wages are entrepreneurs.

"Those who know the ability of entrepreneurs are us in this case, that's why we really regret it. So if Kadin and Apindo file a lawsuit, it's legal so that we have legal certainty," he said.


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