Jakarta –
President Joko Widodo (Jokowi) has just issued a government regulation replacing the law (Perppu) Job creation on December 30, 2022 yesterday.
In response to this, Labor Party chairman/trade union chairman Said Iqbal said that the Labor Party, KSPI and other trade union organizations rejected the contents of Perppu No. 2 of 2022. This is because the contents of the Perppu on job creation were considered harmful to workers.
“The Labor Party, KSPI, and trade union organisations, farmers’ unions reject or disagree with the contents of Perppu number 2 of 2022 concerning the omnibus law on labor copyright laws. But as far as regarding the choice of legal discussion, Labor Party and trade union organizations have agreed to vote for Perppu, not discussed in the special committee on legislative body of DPR RI,” said Said Iqbal at a press conference, Sunday (1/1 /2022).
There were several things that were protested by the workers, one of which concerned the minimum wage setting scheme. Article 88C paragraph 1 establishes that it is the governor who is obliged to set the provincial minimum wage. Governors can also establish district/city minimum wages.
“The determination of the district/municipality minimum wage referred to in paragraph (2) is carried out in the event that the result of the calculation of the district/municipality minimum wage is higher than the provincial minimum wage”, reads article 88C paragraph 3, quoted on Sunday (1/1/2022).
In paragraphs 4 and 5 it is stated that the wage for drinking is determined on the basis of economic and employment conditions, the data of which come from an institution authorized in the field of statistics.
“In the event that a district/city does not yet have a minimum wage and establishes a minimum wage, the determination of the minimum wage must meet certain requirements,” paragraph 6 reads.
Further provisions relating to the procedure for setting the minimum wage will be regulated in a government regulation.
Then in article 88D it is explained that the minimum wage will be calculated using a formula that takes into account the variables of economic growth, inflation and some indices. Additional provisions relating to the minimum wage calculation formula are governed by government regulation.
It is interesting to note that in section 88F it is stated that under certain circumstances the government may establish a formula for calculating the minimum wage which is different from the formula for calculating the minimum wage in section 88D paragraph (2).
Contract worker
The Omnibus Act on Job Creation Law has raised a number of controversies, one of which is that relating to fixed-term employment contracts (PKWT) or contract workers. Now in the Job Creation Perppu this too is reaffirmed.
Provisions relating to the PKWT or the contract workers themselves, one of which is contained in Article 59 which has been amended. In paragraph 1 it is stated that the PKWT can only be carried out for certain works which, according to the type and nature or activities of the work, will be completed within a certain time.
The work in question is as follows:
a. work that is completed once or is temporary in nature;
b. work that is expected to be completed in the not too distant future;
c. seasonal work;
d. work related to new products, new businesses, or add-on products that are still being tested or explored; or
and. work whose type and nature or activity are not fixed.
Paragraph 2 states that the PKWT cannot be held for permanent jobs. Further provisions regarding the type and nature of work activities, time period and time limits for PKWT are regulated in government regulations.
The Perppu on Job Creation also modifies Article 61. For example, paragraph 1 states that an employment contract ends when:
a. The worker/worker dies;
b. Expiry of the duration of the employment contract
c. Completion of a particular job;
d. The existence of judicial decisions and/or decisions of dispute resolution bodies on industrial relations that have permanent legal force; or
and. There are certain circumstances or events envisaged by the Employment Contract, by the Company Regulations or by the Collective Labor Agreement which may lead to the termination of the Employment Relationship.
(La la)
