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.