The Reason Why Workers Are Not Fasting Jakarta's UMP 2023 Is IDR 4.9 Million, KSPI: Stay Poor

Illustration of workers. (Antarananews)

JAKARTA - President of the Confederation of Indonesian Trade Unions (KSPI) Said Iqbal explained the reason his party did not agree with the DKI Jakarta provincial minimum wage (UMP) in 2023 to increase 5.6 percent to Rp4.9 million, as set by the DKI Provincial Government.

Based on the harsh calculation by KSPI, the salary of Rp4.9 million is not sufficient to meet the needs of workers per month. Said Iqbal calculated that at least workers had to spend a number of routine costs such as renting a house of Rp900 thousand.

Then, workers can spend their daily transportation costs and socializing money with you reaches Rp900 thousand per month.

"Then eating at warteg 3 times a day with a daily budget of Rp. 40,000 costs Rp. 1.2 million a month. Then the electricity cost Rp. 400 thousand, the communication cost is Rp. 300 thousand, so the total is Rp. 3.7 million," Said Iqbal said in his statement, Tuesday, November 29.

Indeed, there is still a remaining Rp1.2 million per month wages. However, the needs of the workers, according to Said Iqbal, are not enough to stop there. They also have to pay the residents' contributions, buy clothes, and need for water.

"Is it enough to buy clothes, drinking water, people's contributions, and various other needs? So, with an increase of 5.6 percent, DKI workers are still poor," he said.

Based on the union's proposal at the DKI Jakarta Wage Council hearing a few days ago, they want the Jakarta UMP to increase by 10.55 percent next year.

Therefore, KSPI urged Heru to revise the increase in the DKI Jakarta UMP in 2023 by 10.55 percent in accordance with what was proposed by elements of the labor union who are members of the Wage Council of DKI Jakarta Province.

Said Iqbal also threatened workers to hold demonstrations in Jakarta and various other regions again so that their demands were granted.

"If the demands above are not heard, starting next week there will be major actions in various regions throughout Indonesia to voice a wage increase of 10 to 13 percent," he explained.

For information, the minimum wage in Jakarta increased by around Rp. 400 thousand from the 2022 UMP which was previously set at Rp. 4,641,854 or Rp. 4.6 million in Governor's Decree (Kepgub) Number 1517 of 2021.

Head of the DKI Manpower, Transmigration and Energy Agency (Disnakertrans) Andri Yansyah revealed that the increase in the UMP amounted to 5.6 percent was a proposal from the DKI Jakarta Wage Council from elements of the government at the wage trial last November 22.

The government uses a rising variable (alpha) of 0.2. The alpha variable is the contribution of the workforce to economic growth which forms a certain value from a predetermined range of values.

The use of alpha variables refers to the Minister of Manpower Regulation (Permenaker) Number 18 of 2022 concerning the Determination of Minimum Wage in 2023.

"In accordance with the proposal submitted at the meeting of the wage council, proposes 5.6 percent, in accordance with Permenaker 18 of 2022 using alpha 0.2. So, the DKI Provincial Government UMP for 2023 is IDR 4,901,798," Andri said on Monday, November 28.