CHAIRMAN of the Indonesian Employers’ Association (Apindo) Shinta Widjaja Kamdani also responded to the labor union’s demands for an increase in the 2025 provincial minimum wage (UMP) by up to 10 percent. Shinta emphasized that the wage increase was difficult to meet.
“(The increase in the UMP) cannot be generalized to all regions in Indonesia,” said Shinta when met at the office of the Coordinating Ministry for Economic Affairs, Jakarta, Wednesday (30/10).
Shinta revealed that Apindo will follow the increase in the UMP by referring to the regulations currently in effect, these regulations are none other than Government Regulation (PP) Number 51 of 2023 concerning Wages.
“Yes, our principle is to follow government regulations, namely PP 51 of 2023,” he stressed.
As is known, the regulation regulates the formulation of UMP increases using three variables, namely inflation, economic growth and certain indices.
“PP 51 clearly has a formula, based on regional economic conditions as well as inflation and economic growth, so that is what will be followed,” concluded Shinta. (Fal/M-4)
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**Interview: Labor Activist Siti Rahma**
**Editor:** Welcome, Siti. Thank you for joining us today to discuss the recent nationwide wave of protests by labor unions demanding wage hikes.
**Siti Rahma:** Thank you for having me. It’s crucial that we talk about the importance of fair wages for workers.
**Editor:** The unions are requesting an 8 to 10 percent increase in minimum wages for the upcoming year. What are the main reasons behind this demand?
**Siti Rahma:** Absolutely. The cost of living has risen significantly, and many workers are struggling to make ends meet. The current minimum wage does not reflect the rising expenses for basic necessities like food, housing, and healthcare. An increase is essential for financial stability.
**Editor:** There’s also mention of removing certain provisions from the 2020 labor law. Can you elaborate on that?
**Siti Rahma:** Yes. Some provisions have been detrimental to workers’ rights, particularly those related to job security and severance pay. We believe that these changes have weakened labor protections, and it’s time to restore balance and ensure that workers are adequately protected.
**Editor:** How have the protests been received by the public and the government?
**Siti Rahma:** The public response has been largely supportive, as many understand the struggles that workers face. However, the government and some private sector representatives, like Apindo, have expressed that fulfilling these wage demands could be difficult, citing economic challenges.
**Editor:** What do you think will be the outcome of these protests?
**Siti Rahma:** I believe these protests are just the beginning. It’s vital for us to continue advocating for workers’ rights. We hope to engage in dialogue with the government and come to a resolution that addresses wage increases and protections.
**Editor:** Thank you, Siti, for sharing your insights today. It’ll be interesting to see how this situation develops.
**Siti Rahma:** Thank you for the platform. We’ll keep fighting for justice for all workers.
