Confident that Indonesia will not have a recession in 2023, Apindo Highlights Equitable Growth

Apindo Chairman Hariyadi B Sukamdani. (Photo: Savic Rabos, DI: Raga VOI)

PADANG - The Indonesian Entrepreneurs Association (Apindo) believes that in 2023 the Indonesian economy will survive and will not experience a recession as is feared by a number of parties.

"If there is no recession, what needs to be paid attention to is growth that is evenly distributed and enjoyed by as many people as possible," Apindo chairman Hariyadi B Sukamdani was quoted as saying by Antara, Tuesday, December 14.

He conveyed this at the Apindo VII Provincial Conference of West Sumatra with the theme "Strengthening the Industrial World Business in Facing the Global Economic Recession."

According to him, if the economy is growing but on the other hand there are still citizens who need to be subsidized, it means that the growth is not evenly distributed.

"We want to realize even growth, this is Apindo's concern," he said.

Therefore, one of the issues that Apindo needs to pay close attention to is the determination of the Provincial Minimum Wage (UMP).

If the setting of the minimum wage exceeds the ability of the employer, he said, then this will also be a problem because employment will shrink.

"Even though we are currently recovering after the pandemic by reopening jobs," said Haryadi. Therefore, in setting the minimum wage, he continued, it must be based on data in the field, not just a political decision.

He also highlighted that there are often misunderstandings in understanding the provincial minimum wage which is sometimes looked down upon.

"The minimum wage is given to new workers who have never worked before and the working period is under one year, if it is more then it is no longer the minimum wage, the levels are different," he said.

In line with this, the Chairperson of Apindo W Sumatra, Muzakir Aziz, also highlighted the minimum wage which he considered unfair for employers and also unfair for workers.

"It is not possible that the UMP of one region is the same as another. Don't equate the Padang minimum wage with Mentawai and others," said Muzakir.

According to him, conditions in one area are not the same, so UMP cannot be equated because it is closely related to inflation.