In Batam, a coalition of labor unions is set to demonstrate, demanding a 15% increase in the city’s minimum wage for 2024.
Representatives from multiple labor unions, including FSPMI, FARKES-R, SPSI, SBSI, FPBI, and SPRM, are organizing a protest in front of the Batam City Mayor’s office, with an estimated participation of 300 people.
The main demand of the workers is a 15% increase in Batam’s Minimum Wage (UMK) for 2024, amounting to an increment of IDR 675,066.
The unions are urging the Mayor of Batam to reconsider the wage determination for 2024, deviating from the wage adjustment formula set in PP 51 of 2023.
FSPMI Chairman Yafet Ramon warns of larger protests and potential regional strikes if the government persists in using the existing formula for minimum wage determination.
Discussions on the Minimum Wage for Batam will commence following the determination of the Provincial Minimum Wage (UMP), expected by November 20, 2023, with the City’s Minimum Wage to be decided by November 30.
Rudi Sakyakirti, the Head of Batam’s Labor Department, acknowledges the workers’ demands, noting that the current Batam UMK is IDR 4.5 million and an increase could bring it to IDR 5.6 million monthly.
The proposed wage increase in Batam highlights the ongoing efforts of Indonesian workers to secure better economic conditions, which could have implications for regional labor dynamics and business operations, particularly for neighboring countries like Singapore.
Labor unions in Batam are rallying for a significant increase in the city’s minimum wage for 2024. Their demands include a 15% rise, translating to an additional IDR 675,066, challenging the existing wage adjustment formula. These developments are pivotal in shaping the economic landscape of Batam and could influence regional labor markets.
Source : Batam Pos, Tribun News (2023)
