REPUBLIKA.CO.ID, JAKARTA -- The Indonesian Employers' Association (Apindo) appreciated the process of determining the provincial minimum wage (UMP) based on Government Regulation (PP) Number 51 of 2023 carried out by the government. This was because this determination involved a number of stakeholders such as employers, labor unions, academics, and local governments.

Chairwoman of Apindo Shinta W Kamdani said, employers hopes that determining minimum wages be avoided from practical politics. "The determination of the minimum wage should only be based on the interests of economic growth and national progress, so it must be kept away from political interests ahead of the 2024 election," Kamdani said in an official statement to Republika, Wednesday (Nov.22, 2023).

She also hoped that the determination of the UMP in accordance with the latest PP can revive job creation. Apindo has several records regarding wages, which is a factor in achieving national economic growth.

In accordance with the strategic function of minimum wages in national economic stability, investment decision factors, long-term structural economic reform and the state's role in providing protection to workers, Apindo assess that the 2024 UMP calculation formula referring to PP Number 51 of 2023 was already good.

She explained that PP number 51 of 2023 was able to support business sustainability while still considering workforce fairness. "We hoped that the Regional Government will respect and follow the results of determining the 2024 UMP which was based on the PP," she added.

Provincial governments in Indonesia already determined the 2024 UPM. The wages in all provinces were hiked range from 1,7 percent to 4,9 percent. In the other hand, workers in many provinces still have not satisfied with the numbers.

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