Minimum Wage In 2021 Not Increasing, Trade Unions: Government Making Ups

The Indonesian Minister of Manpower, Ida Fauziyah. (Photo: Ministry of Manpower)

JAKARTA - The government has decided that there will be no increase in the minimum wage in 2021. This decision has received protests from the labor unions, this is because this decision was never approved by the National Wage Council.

Member of the National Wage Council (Depenas) Mirah Sumirat criticized Depanas's recommendation claim on the Minister of Manpower Circular Number M / ll / HK.04 / X / 2020 concerning Determination of the Minimum Wage for 2021 During the 2019 Coronavirus Disease Pandemic (COVID-19). Seban, Depenas has never agreed that there will be no increase in the Provincial Minimum Wage (UMP) in 2021.

"I inform you that there has never been an agreement at a plenary meeting related to not raising the UMP 2021. So it really surprises me that as a member of Depenas if there is a sentence from anyone or an official that there is a recommendation from Depenas," he said, in a virtual KSPI conference Friday, October 30th.

Mirah also ensured that there was no recommendation whatsoever from Depanas on the stipulation of the 2021 UMP. So that he accused the government of making this up.

"So there has never been a recommendation related to not increasing the UMP 2021. So clear, if there is a statement that recommended by Depanas means a lie. I think (the government) is making it up," he concluded.

Furthermore, he said that Deputy Chairman of Depenas, Sunardi, also admitted that he had never made a recommendation on the determination of the 2021 UMP. He admitted that he only found out when the new SE became a polemic.

"It is very surprising, and I have confirmed this to the Deputy Chairman of Depanas Sunardi. He was also surprised not to know," he said.

Previously, the Minister of Manpower Ida Fauziyah spoke about the polemic over the issuance of Circular Letter (SE) Number M / 11 / HK.04 / 2020 concerning Determination of Minimum Wages in 2021 during the Corona Virus Disease 2019 (COVID-19) Pandemic. According to him, the provision of not raising the minimum wage in 2021 (UMP 2021) in the new SE is a middle way taken by the government.

"This is a middle path that must be taken by the government in difficult and difficult conditions. We protect wages, we must pay attention to business continuity. On that basis, we issue this Circular Letter," said Menaker Ida in Jakarta, Tuesday, October 27.

According to Ida, the issuance of the SE was based on an in-depth study by the National Wage Council (Depenas) regarding the impact of COVID-19 on wages. Given that the COVID-19 pandemic has impacted economic conditions and the ability of companies to fulfill workers / labor rights, including in paying wages.

The Circular Letter is also in order to provide protection and continuity to work for workers / laborers and to maintain business continuity. As a result, it is necessary to make adjustments to the determination of the minimum wage in the situation of economic recovery during the COVID-19 pandemic.

Besides, Ida said, the government still pays attention to the purchasing power of workers through subsidized salaries / wages. In fact, social cushion has been provided by the government.

"So the government does not just set it because there are several steps that have been taken," he said.