Jakarta: Minister of Manpower Hanif Dhakiri said raising the Provincial Minimum Wages (UMP) for next year provides certainty for all parties.
Not only for workers, employers also get certainty when it comes to wages.
Hanif said the increase was a mandate of Government Regulation No. 78 of 2015 concerning Wages. It regulates that wages should be adjusted for inflation and economic growth.
"This is something that is mandated by the Law. So, in my opinion, this must be accepted by all parties, because this is a win-win scenario," he said at his office on Friday, October 18, 2019.
"Entrepreneurs should be able to prepare for this from previous years. They should be able to predict inflation and economic growth," he explained.
He added that the government could not afford all the complaints from both employers and workers. However, he ensured that the evaluation of this policy will continue.
"This increase in wages does not need to be controversial for all parties, both employers, unions (workers), we will continue to evaluate going forward," he said.
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