Jakarta’s minimum wage increase for community’s good: Patria

Deputy Governor of Jakarta Ahmad Riza Patria said the decision to raise Jakarta’s 2022 provincial minimum wage (UMP) is for the benefit of the community, especially workers.

“The priority is certainly the people’s interest. Hopefully, everyone can understand it,” Patria said here on Sunday.

According to him, the decision to increase the minimum wage for next year was taken after going through several considerations, one of which was the impact  of the COVID-19 pandemic on workers.

With the raise of UMP, Patria added, the workers’ financial burden during the pandemic can be lessened. Nevertheless, he said he is aware that the decision would not  satisfy everyone.

“There is no interest that is 100 percent satisfactory, but it is for common good,” he explained.

Previously, Jakarta Governor Anies Baswedan has announced the decision to increase Jakarta’s UMP next year by 5.1 percent to Rp4.641.854 from  0.85 percent to  Rp4.453.935 as decided earlier.

“What is important in this UMP increase is we hope people’s and workers’ purchasing power will not decline,” Baswedan said here on Saturday, Dec 18.

Thus, the increase in 2022’s UMP is Rp225,667 or higher  than the previous amount of Rp37,749.

The governor explained, the revision was based on Bank Indonesia’s review that projected Indonesia’s economic growth in 2022 will reach within the range of 4.7 to 5.5 percent. Moreover, inflation could be kept under  control at three percent or in the range of two to four percent.

The Institute for Development of Economics and Finance (INDEF) also predicted Indonesia’s economic growth next year to reach 4.3 percent.

Therefore, Baswedan explained, the decision to revise the UMP increase had been discussed with stakeholders and with caution as the economic wheels in Jakarta have started to spin again.

“With an increase of Rp225 thousand per month, our workers can use it as an additional (income) for daily needs,” he added.

 

Source: Antara News

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