Minimum wage and religious bonus

Minimum wage and religious bonus

From Media Indonesia

The decision of the Ministry of Manpower concerning the
increase of the minimum wage level, to be put into force as of
April 1, 1995 throughout Indonesia, surely delights the workers.
And President Soeharto has instructed the Minister to monitor the
implementation of the decision. In this case, the consistent
implementation of the decision is not only the responsibility of
the Minister of Manpower's personnel in the provinces, but
Governors, Regents and Mayors are also held responsible for
supervising the true implementation of the regulation. The
increase of the minimum wage is understood to be from 10 to 35
percent.

It is hoped that state-owned enterprises will take the lead in
implementing the decision of the Minister of Manpower. It is
still a question, however, whether the Association of Indonesian
Entrepreneurs is ready to implement the decision.

Apart from that, the entrepreneurs are also obliged to give a
religious bonus of one month salary to the workers. The bonus
should be paid one week before Idul Fitri at the latest. If
state-owned enterprises are not yet able to pay the minimum wage
to its workers, then what hope do we have of the private
companies doing it.

One thing should also be considered, i.e. the difference in
the amount of the minimum wage for various regions. For example,
the minimum wage is Rp 3,500 for the Aceh province, and Rp 4,200
for North Sumatra. West Java will enjoy a minimum wage of Rp
4,600, while Central Java will only get Rp 3,000 per day. That
the minimum wage scheme 1995 was introduced after careful and
thoughtful consideration is undisputed. But the general workers
find it hard to comprehend.

As far as the religious bonus goes, many companies, including
state-owned enterprises, are still not in the position to give
their workers an extra one month salary, because the workers get
production bonuses every year.

T think this matter needs clarifying.

HARTONO

Jakarta