Jakarta says no to higher salary

Jakarta says no to higher salary

The Jakarta Post, Jakarta

The Jakarta administration turned a deaf ear to workers' pleas
for a revision to the minimum wage for 2005 of Rp 711,843 (US$79)
to Rp 759,532, the estimated minimum cost of living in the
capital.

City Manpower Agency head Ali Zubeir said on Thursday that as
Governor Sutiyoso had signed the decree on the minimum wage for
next year, there would be no more revisions.

"If we approve such a demand, it would encourage workers in
other regions to demand a similar revision. It would cause chaos
all over the country," Ali told workers.

"Moreover, it would be opposed by the employers, who have
calculated labor costs into their 2005 budget."

The gubernatorial decree was signed on Nov. 5, but the
announcement was made one week later due to workers' initial
demand for an increase of up to about Rp 1 million from the
current Rp 671,550.

Ali explained that the calculation did not include the
estimated increase in fuel prices expected next year.

The workers grouped under the United Labor Alliance rejected
the decree and the proposed minimum wage, as they said workers'
representatives were not consulted in calculating the amount.

The Jakarta Workers Association (Aspek) chairman Gibson
Sihombing said that workers would continue to reject the proposed
minimum wage until the administration adjusted it with the
official minimum cost of living of Rp 759,532.

The figure for the minimum cost of living is based on a joint
survey made in July by administration officials, employers'
associations and workers' unions.

According to Gibson, the decree violated Law No. 13/2003 on
manpower, which rules that the minimum wage must cover the
minimum cost of living for workers.

"All unions in Greater Jakarta will stage a protest if the
administration does not fulfill our demand by Dec. 6. We will
also report the governor to the police for violating the law," he
said.