Who we are

Better Work Indonesia is part of the Better Work global program, which is a unique partnership between the International Labour Organization (ILO) and the International Finance Corporation (IFC).  It unites the expertise of the ILO in labour standards with that of the IFC in private sector development. Better Work Indonesia, which became operational in July 2011, is initially designed as a five-year program. The goal is to develop a sustainable approach that will allow the programme to continue independent operations after this five-year period. 
 
What we do

Better Work Indonesia (BWI) aims to improve compliance with labour standards and promote competitiveness in Indonesia’s apparel industry by assessing current workplace conditions and offering customized advisory and training services to factories to address their individual needs. The Better Work programme helps governments, unions and companies achieve compliance with the International Labour Organization’s (ILO) core labour standards and national labour laws through market incentives. It builds the capacity of employers, governments and unions to work together toward solutions that benefit all.

Indonesia Unions Announce Another Strike as Wage War Continues
Jakarta Globe, Nov 18, 2013


The head of Indonesia’s largest union organization has announced a new strike across several regions of the archipelago to pressure provincial governments into making greater concessions on minimum wage, a report by the state-run news agency said on Monday.

“The peak will be on Nov. 25-26,” head of the Confederation of Indonesian Workers (KSPI) Said Iqbal said as quoted by the state-run Antara news agency. “When all factories in industrial areas in Jakarta will stop production and thousands of workers will head to City Hall to force governor [Joko Widodo] to revise the minimum wage in Jakarta at around Rp 3 million [$258].”

Read the full article here 

Bekasi City Minimum Wage Rp. 2.441.954, Depok Rp 2.397.000
Kompas.com, 18 Nov 2013
 
Bekasi Wage Council sets city minimum wage (UMK) in 2014 to Rp 2,441,954. Meeting was tough and the council had to do voting.
 
Meanwhile Depok Wage Councils have agreed to set City Minimum Wage for 2014 as Rp 2.397 million, increase 17.4 percent from Depok City Minimum Wage 2013. Diah Sadiah, Depeko chairman who also serves as Head of the Labor and Social Department of  Depok, said the agreement has occurred based on a predefined Decent Living Wage of Rp 2,169,859.
 
While the Bogor regency councils set UMK 2014 to Ro. 2.242.240. "Although already established, Bogor regency government provide space for companies that can not afford to pay the minimum wage to apply for suspension of Minimum Wage," said Head of the Labor and Social Department of Bogor Regency Nuradi
 
Read the full article here (Article is in Bahasa Indonesia)
Ahok: No Revisions on Minimum Wage
Tempo, Nov 12, 2013'

Jakarta Deputy Governor Basuki Tjahaja Purnama stated that the Jakarta City Administration will not revise the minimum provincial wage (UMP) of Rp 2.4 million (around US$206.20), as signed by Governor Joko Widodo on October. Previously, the Jakarta Laborers Council had rejected the nine percent increase and has delivered their opinion to the Jakarta Regional House of Representatives

Ahok explained that UMP in Jakarta is expectedly higher than other regions.

"However, industry in Jakarta should applies high-technology," said Ahok.

He added that it would not be fair if garment and textile laborers receive the same salary as laborers who work in the metal industry, which known to utilize high technology machineries.

Read the full article here


South Korean Garment Companies Requesting for No Wages Increment in 2014
Suara Pembaruan, Nov 14, 2013
 
Labor-intensive garment companies from South Korea (South) Korea or the Garment Manufacturer's Association in Indonesia (KOGA), which consists of 300 companies in Indonesia which employs 500,000 workers asked the Indonesian government in 2014 that the minimum wage is not raised for them. The reason, the companies could not fund the wage of 2014 if it is to be raised again. 
 
KOGA Chairman Do Woon Bae said the provincial minimum wage (UMP) in 2013 for the labor-intensive enterprises made as many as 15 garment companies in Cakung, East Jakarta  had to close down as well as reducing the staff of about 24,306 of the total 70,293 employees Cakung area. "The Director General, we from KOGA Jabotabek are very serious conveying this wage issue," pleaded Do Woon Bae.

Read the full article here (Article is in Bahasa Indonesia)
Read the Google Translate English Version here

Yogya minimum wage to increase by 10%
The Jakarta Post,  Nov 14, 2013

Yogyakarta Governor Sri Sultan Hamengkubuwo X said that the minimum wage in the province (UMP) 2014 would be increased by around 10 percent compared to last year.

Speaking after a meeting with the mayor and regents at the gubernatorial office compound in Kepatihan on Wednesday, Sultan said that the new minimum wage of the province’s four regencies and municipality were based on the proposals filed by the remuneration board. 

The board comprises representatives of the local administration, the Indonesian Employers Association (Apindo) and the Indonesian Workers Union (SPSI).

According to Sultan, the minimum wage for Yogyakarta city was increased from Rp 1,065,247 (US$93) to Rp 1,173,300; Sleman‘s from Rp 1,026,181 to Rp 1,127,000; Bantul‘s from Rp 993,484 to Rp 1,125,500; Kulonprogo’s from Rp 954,339 to Rp 1,069,000 and Gunungkidul’s from Rp 947,114 to Rp 988,500.
 
Read the full article here 

Minimum Wage in Central Java will increase in average of 16.6% next year
Detik.com, 15 Nov 2013
 
Central Java Governor Ganjar Pranowo have set minimum wage rates increase in 35 regencies / cities in Central Java province that will rose in an average of 16.6% in 2014.
 
"The figures are in, I'm going home, I need to type the Decision Letter. I do the typing myself for this," said Ganjar after Governor meeting with chairman of the council for UMK discussion in the DPRD meeting room, Friday (11/15/2013).
 
Ganjar say, Central Java DPRD has agreed and handed the decision to increase the minimum wage rate to the Governor.
"The council already understand all and submit to the Governor to decide," he said.
 
Read the full article here 
Read the Google Translate English Version here

Court Orders Businesses to Pay Laborers Minimum Wage
Tempo, 11 Nov  2013

Jakarta State Administrative Court has annulled the Jakarta Governor Decree (Decree) that allows companies to delay the 2013 minimum wage implementation of Rp 2,2 million (around US$ 191.97). In the Decree, which starts from number 351 through 526 of 2013, 22 companies are exempted from paying their workers with the 2013 minimum wage of Rp 2,2 million. As a result, those companies are currently paying their workers based on the 2012 minimum wage of Rp 1,9 million (around US$ 165.79).

Head of the Indonesian Employers Association for Jakarta region Suprayitno, believed that the court's decision will affect businesses. "Investment could slow down," he said.

In addition, he explained that the court's decision will not be immediately implemented because it is not yet final and binding. "It's still open for cassation," he said.

Read the full article here


Better Work Indonesia

ILO Jakarta Office
Menara Thamrin Level 22
Jl. M.H. Thamrin Kav. 3 | Jakarta 10250
Tel. +62 21 391 3112
Fax. +62 21 310 0766

E-mail: indonesia@betterwork.org

www.betterwork.org/indonesia
Better Work Indonesia is funded by the Australian, USA, Switzerland and Netherlands Government  through AusAID, USDOL, SECO and Kingdom of the Netherlands

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