Regarding The 2023 DKI UMP Increase, Acting Governor Heru: The Calculation Is Above Inflation

Acting Governor of DKI Heru Budi met Minister of Transportation Budi Karya (Photo: DOK VOI/Diah Ayu)

JAKARTA - Acting Governor of DKI Jakarta Heru Budi Hartono has met with the Minister of Home Affairs (Mendagri) Tito Karnavian to discuss the increase in the provincial minimum wage (UMP) in 2023. Heru said, after receiving directions from the Minister of Home Affairs, now the determination of the increase in the DKI UMP next year is still being calculated with the DKI Jakarta Wage Council. "The increase is being calculated," said Heru at DKI Jakarta City Hall, Friday, November 18. Heru explained that the DKI Provincial Government has received the points determining the amount of the minimum wage from the Ministry of Manpower. He said that the calculation of the UMP which will later be determined must actually be greater than the value of inflation. "The calculation may have to be above inflation. We have received, there are already points made from the ministry of manpower. Hopefully the best is for workers," said Heru. Recently, a group of workers visited the DKI Jakarta City Hall, starting from the Confederation of Indonesian Trade Unions (KSPI) DKI Jakarta to the Congress of the Alliance of Indonesian Trade Unions (KASBI). They demanded Heru to determine the amount of the increase in the DKI UMP in 2023 by 13 percent. KSPI President Said Iqbal stated that the research that KSPI conducted predicted economic growth could range from 4-5 percent January-December 2022 on average. Then, inflation in general was in the range of 6.5 percent. "If inflation is 6.5 percent and economic growth is 4-5 percent, the most reasonable thing about the compromise rate for the increase in the UMP/UMK is above 6.5 percent to 13 percent," said Said Iqbal. Said Iqbal also refused if the government used the derivative rules of the Job Creation Law, namely Government Regulation Number 36 of 2021 as the basis for the regulation on the calculation of wage increases. This is because he predicts that the wage increase will only be up to 4 percent if using PP 36/2021.