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Government to Form Task Force Following 6.5% Minimum Wage Increase

By Admin 1 Senin, 02 Desember 2024 Pengunjung (106) 1 Mins Read
government-to-form-task-force-following-65-minimum-wage-increase

Inp.polri.go.id - Jakarta. Coordinating Minister for Economic Affairs Airlangga Hartarto announced plans to establish a Task Force on Layoffs (Satgas PHK) in response to the recent 6.5% increase in the provincial minimum wage for 2025.

“The government will create a task force to address layoffs,” he said during the 2024 National Leadership Meeting of the Indonesian Chamber of Commerce (Kadin) on Sunday (1/12/2024).

The initiative aimed to mitigate potential layoffs triggered by the wage hike. 

“We will examine the industry's fundamentals and assess the situation accordingly,” he added, as quoted by antaranews.com.

While Minister Airlangga did not specify the timeline or composition of the task force, he emphasized the government’s focus on boosting economic growth and reducing poverty.

President Prabowo Subianto recently announced the nationwide wage increase, which surpasses the earlier 6% recommendation by the Minister of Manpower.  The government considers the wage adjustment a social safety net for workers, particularly those with less than a year of service.

(mg/inp/pr/nm)

 

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