Provincial Minimum Wages Unchanged: What Is the Impact?

By Editorial Team 30/10/2020
factory workers
Summary

The Manpower Ministry (Kemnaker) claimed that about 27 provinces that are ready to implement the Manpower Ministerial Circular No. M/11/HK.04/X/2020 on minimum wages in 2021 during the COVID-19 pandemic. In other words, they decided not to raise the rates in 2021.

The Manpower Ministry’s director of payroll, Dinar Titus Jogaswitani, said that his side would keep waiting for other provinces’ commitments on the policy. "As of today, 27 provinces are ready. We will wait for tomorrow and the day after tomorrow. It will be passed and announced on October 31,” Dinar revealed on Thursday (10/29).

The circular dictates governors to maintain the 2020 minimum wages in 2021 and announce it on October 31, 2020. It also demands them to determine the minimum wage after 2021 as per existing laws and regulations.

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