Indonesian Political, Business & Finance News

Govt to enforce new wage laws

Govt to enforce new wage laws

DILI, East Timor: The government will punish employers who fail to pay the new minimum wage of Rp 3,800 (US$1.7) which comes into effect as in April, says a local official.

Chief of the local manpower office Anton Setiyono said on Saturday that employers found to be in violation of the new ruling would be brought to trial or have their business licenses withdrawn.

The government has raised the daily minimum wage in the youngest province from Rp 3,000 to Rp 3,800.

Anton said small-scale businesses who cannot afford to pay the government-set minimum wage could obtain a dispensation provided that they had reasonable evidence.

"Dispensation will be given for a certain period of time only, because companies cannot go on paying their workers small wages forever," he said, as quoted by Antara.(pan)

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