The President of the All Indonesia Workers Union Association\n(ASPIRASI), Mirah Sumirat, has requested a 10% increase for the 2027\nminimum wage. The proposed calculation model would move away from using\nthe \u2018alpha coefficient\u2019 in the wage formula.<\/p>\n
The proposed wage calculation would once again consider inflation,\neconomic growth, and the results of market surveys or KHL (Kebutuhan\nHidup Layak - Basic Living Standards) that have been conducted\npreviously.<\/p>\n
\u201cFrom our side, we continue to propose not using a specific value\ncoefficient, the alpha coefficient. We would continue to use inflation,\neconomic growth, and the results of the surveys we have conducted all\nthis time,\u201d Mirah told CNBC Indonesia on Wednesday (22\/09\/2026).<\/p>\n
\u201cOur figure is not far off, roughly in the range of 10%. It is not\nfar from that,\u201d she added.<\/p>\n
She explained that the price of basic necessities and inflation are\ncritical considerations to ensure that wage increases do not lose\npurchasing power amidst rising living costs.<\/p>\n
\u201cOur assumption is that the government must be able to control the\nprices of basic foodstuffs and food prices. Furthermore, inflation must\nbe maintained, and economic growth is already quite good,\u201d she said.<\/p>\n
For labourers, the wage formula is a vital component in the\ndiscussion of labour regulations. Any change to the formula will\ndetermine the extent of the minimum wage increase when the government\nbegins setting the amounts for next year.<\/p>\n
\u201cOur proposal from the workers is that the formula for the Minimum\nProvincial Wage (UMP) should be decided without using the alpha\ncoefficient, and that we revive market surveys and the functions of the\nWage Council. That is our proposed draft,\u201d said Mirah.<\/p>\n
On the other hand, discussions regarding the 2027 minimum wage have\nyet to show concrete progress. The focus of the government and the House\nof Representatives (DPR) remains largely absorbed by the drafting of the\nnew Labour Bill, which is targeted for completion in the near\nfuture.<\/p>\n
\u201cThe calculation could come from the new Labour Bill. Therefore,\nthere have been no discussions yet. There is no sign of it yet. So, I do\nnot know whether they will start in October or when, but time is running\nout,\u201d Mirah remarked.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/labour-leader-proposes-10-increase-for-2027-minimum-wage-using-alternative-calculation-model-1790121076", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }