Page 37 - e-KLIPING KETENAGAKERJAAN 29 JULI 2020

Judul Omnibus bill could boost productivity: Businesses
Nama Media Jakarta Post

Newstrend Omnibus Law
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Sentimen Positif

Narasumber

positive - Bob Azam (Apindo head of employment) There will not be any reduction to the current
minimum wage. But the raise should be set in a more constructive manner according to any
increases in productivity. Wages should not grow faster than productivity

neutral - Fithra Faisal (University of Indonesia economist) As an investor, if I want to enter
Southeast Asia, then Vietnam, Thailand, Myanmar, Malaysia and the Philippines would be more
preferable, not Indonesia

positive - Fithra Faisal (University of Indonesia economist) Wage [increases] have been high
while productivity levels stagnate, so the cost of production becomes very high.

positive - Shinta Kamdani (deputy chairwoman at the Indonesian Chamber of Commerce and
Industry) We have been conducting tripartite [meetings] for almost two weeks. We deliberated
the articles one by one. I think we now hand the matter over to the government to undergo the
process at the House of Representatives

positive - Shinta Kamdani (deputy chairwoman at the Indonesian Chamber of Commerce and
Industry) We listened to the labor unions’ views and arguments. The labor unions also listened
to companies. I think this process has been going very well, although it has not involved all
unions

positive - Shinta Kamdani (deputy chairwoman at the Indonesian Chamber of Commerce and
Industry) The government will not backtrack on the environment aspects. They have paid
attention to aspects that need to be prioritized, just as it did with the labor elements

Ringkasan

With Indonesia’s low worker productivity standing as a barrier to investment, some
businesspeople are expecting a proposed wage scheme in the government’s omnibus bill on job
creation to help reverse the tide of slow progress in bringing in investors.

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