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Companies Urged to Settle Minimum Wage with Workers

16 July 2003 10:02 WIB

TEMPO Interactive, Jakarta:President Megawati Sukarnoputri has urged companies at the management level to settle problems relating to workers’ minimum wages (UMP). Deputy Chairman of the Indonesian Employers Association (Apindo) Djimanto told TEMPO this by phone today (16/1) following his meeting with the president in Jakarta. Djimanto said the president considered the continuation of business more important than the implementation of new regulations. Therefore, he added, ”Sanctions for those who do not implement Minister of Manpower’s decision should not be enforced.” As reported earlier, the Minister of Manpower and Transmigration Jacob Nuwa Wea had threatened those companies that have financial capacity but refuse to pay the 2002 minimum wage with a Rp 100,000 fine and three-months imprisonment. Djimanto said Apindo would continue with their lawsuit against the minister’s decision at the District Court. He added that Apindo would file an appeal against a negative decision. The Association will also try to settle the matter in both bipartite (involving companies and workers only) and tripartite (involving companies, workers and the government) forums. “Apindo calls for all parties to listen to Mrs. Mega’s message,” Djimanto said. According to data obtained by Apindo, some 1,379 companies in Jakarta, representing all business sectors, have objected to the 2002 minimum wage. Only 12 companies have officially filed an objection to the Jakarta Province Manpower Department. Apindo expects such cases to be settled before May 2002. “In May, we will have already discussed the increase of minimum wages for the year 2003,” Djimanto said.


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