Big Demo-Large Workers If The 2023 DKI Jakarta UMP Does Not Increase To IDR 5.1 Million

Illustration of labor demonstrations. (Between-Aprilio A)

The Confederation of Indonesian Trade Unions (KSPI) and labor organizations have threatened to hold a massive demonstration to demand the Provincial Minimum Wage (UMP) including in DKI Jakarta in 2023 to increase by 10.5 percent to Rp5,131,569.

KSPI President Said Iqbal explained that there were differences in the proposed increase in the UMP figures given by businessmen, government representatives, and labor unions. Where the DKI Jakarta wage council has submitted recommendations for an increase in the UMP to the Acting Governor of DKI, Heru Budi Hartono. However, said Iqbal, the workers rejected the proposal submitted by the entrepreneur regarding the amount of the UMP. Because, it still refers to the old policy.

"There are three different proposed figures proposed by the DKI wage council to the Acting Governor," Said Iqbal said in his statement, Thursday, November 24.

Said said the Indonesian Employers' Association (Apindo) proposed an increase in the UMP of 2.62 percent. Meanwhile, the Chamber of Commerce and Industry (Kadin) proposed an increase of 5.11 percent.

"Apindo still refers to PP number 36/2021, so the increase is found at 2.62 percent. Or he is an increase to Rp4.76 million. Kadin agrees with Permenaker No. 18/2022, the increase is 5.11 percent," said Said Iqbal.

Meanwhile, Said continued, the government used Permenaker 18/2022 and proposed an increase of 5.6 percent. With this calculation, according to him, the DKI Jakarta UMP will be IDR 4,901,798.

The workers proposed an increase in the DKI Jakarta UMP by 10.5 percent to IDR 5,131,569. This refers to Indonesia's economic growth.

"The attitude of the labor party and the labor union organization asking the DKI Jakarta Acting to grant the proposal from the union was 10.55 percent. Because it is very realistic, based on inflation calculations and economic growth," said Said Iqbal.

Said said, based on the Labor Party's R&D, Indonesian inflation in January-December is predicted to be 6-7 percent. Meanwhile, economic growth ranges from 4-5 percent. Thus, this is the reason workers ask for an increase in wages of 10.55 percent.

In addition, Said said, labor consumption was depressed 30 percent after the increase in fuel oil (BBM). Moreover, the minimum wage is said to have not increased for three years. According to Iqbal, the average national UMP increase was 8.16 percent when referring to Permenaker 18/2022.

Therefore, Said emphasized, the workers will hold a massive action if the increase in the UMP is below the average estimate. The plan, he said, was to take action in DKI Jakarta before the determination of the UMP on November 28, 2022.

"The action will be carried out in DKI Jakarta before the 28th (November 2022), and will be carried out in waves throughout Indonesia, until the end of the year," he concluded.