JAKARTA (Yosefardi) – The Jakarta administration under Governor Joko “Jokowi” Widodo and Vice Governor Basuki “Ahok” Tjahaja Purnama set the capital city’s minimum wage for 2014 at Rp2.44 million (US$213) per month, as a response over demands from workers for wage hike.

Jokowi told journalists at the City Hall that he has signed a decree on the new minimum wage for the city’s workers. The new minimum wage is actually higher than Rp2.29 million wage proposed by employers but still far lower from the Rp3.7 million (US$329) demanded by the city’s workers.

On Thursday (Oct. 31), thousands of workers associated in several labor unions and confederations held rallies, a national strike, in some major cities across the country.

The workers also urge the annulment of the newly endorsed law on mass organizations as new law would treaten the existence of labor unions. The strike continues today.

Suryo Bambang Sulisto, Chairman of the Indonesia Chamber of Commerce and Industry (KADIN), said the wage hike demanded by workers is not realistic and could force the business owners to call the lay-off of workers, instead the business would be halted.

Anton J Supit, one Chairman of Indonesian Employers Association (Apindo), also suggests the workers to put forward bipartite dialogue, rather than going to the street rally and holding a strike. (haryantos@yosefardi.biz)