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Indonesia businesses brace for minimum wage hikes

Unions agitating for increases despite sluggish economy and underemployed workers

Published Thu, Nov 6, 2014 · 09:50 PM

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    Jakarta

    INDONESIAN businesses are bracing themselves for another year of massive rises in the minimum wage - already among the highest in Asia - as labour unions in Jakarta stage rallies ahead of a hike in the price of subsidised fuel.

    Under Indonesian law, local officials have the authority raise the base pay across industrial segments, and manufacturing workers in Jakarta are pushing for a 30 per cent hike in base pay to almost three million rupiah (S$320).

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