Employers Association to Sue Anies Over Minimum Wage Increase

Monday, 20 December 2021 – 10:51 GMT+7
Employers Association to Sue Anies Over Minimum Wage Increase - JPNN.com English
Thousands of members of worker unions throughout West Java surrounded the office of Governor Ridwan Kamil, Tuesday (30/11) / Credit: Nur Fidhiah Shabrina, JPNN

jpnn.com, JAKARTA - The Indonesian Employers Association (Apindo) in Jakarta is set to sue the Jakarta administration to the State Administrative Court (PTUN) over a minimum wage increase plan.

Jakarta Governor Anies Baswedan will increase the provincial minimum wage by 5.1 percent or Rp 225,667 in 2022.

Apindo Jakarta deputy chairperson for wages and social security, Nurzaman, said Anies' decision was quite surprising because he would revise the governor regulation, which regulated an increase in minimum wage by only 0.85 percent.

"Apindo hopes that [the governor] can give up the intention to revise the governor regulation. Otherwise, we will not remain silent. We will take legal action, including filing a complaint to the Administrative Court," said Nurzaman, Sunday (19/12) evening.

According to Nurzaman, his party is studying the Anies' planned revision and is worried that other regional heads will follow suit.

"The impact is huge because others can change it too. This is risky," he said. 

Anies said previously that the plan was based on a study by Bank Indonesia, which projected that Indonesia's economic growth in 2022 would reach 4.7 percent to 5.5 percent.

"With an increase of Rp 225,000 per month, residents can be more supported in their daily needs. Through this decent minimum wage increase, we hope that the purchasing power of the people will also increase," Anies said in his statement, Saturday (12/18).

Anies said the increase in the minimum wage was to uphold the principle of justice for workers, companies, and the Jakarta administration itself.

"We assess this 5.1 percent increase is decent for workers and still affordable for employers. We hope that in the future, the economy can accelerate for the good of all of us," said Anies. (mcr4/mcr20/jpnn)

This news has been broadcast on JPNN.com with the title: Tak Terima Kenaikan UMP DKI Jakarta 5,1 Persen, Apindo Bakal Gugat Anies

Apindo is set to sue the Jakarta administration to the State Administrative Court over a minimum wage increase plan.