2021 Provincial Minimum Wage – Java

All the provinces and special regions in the Indonesia island of Java has issued the 2021 provincial minimum wage on 1 November 2020 (info-graphic can be downloaded below).

Whilst, the Minister of Manpower Circular Letter issued on 26 October 2020 addressed to all of the Governors in Indonesia directing them to maintain the same amount of figure as per the 2020 provincial minimum wage; only two (2) regions comply with the Circular Letter directive. This likely a micro reflection of the efficacy of Central Government policy at the regional level and alignment of labor politics between Central and Regional Governments.

Omnibus Law in Indonesia

The President of Republic of Indonesia has finally signed the contentious Omnibus Bill into Law on 2 November 2020, despite marathon protests and rallies by trade unions and civil societies since early October 2020. The 1.187 pages Law (consists of 769 pages on Articles of Law and 418 pages of Explanation) is registered in the State Gazette as Law No. 11 of 2020 concerning Job Creation (full version and Chapter IV of the Law can be downloaded below).

Interestingly, at least on the Employment Chapter, the Legislative did not actually repeal Labour Act No. 13 of 2003. but instead change, remove or set new provisions for several provisions stipulated in Labout Act No. 13 of 2003, as stated in Article 80 (a) Part One Chapter IV of the Omnibus Law. This means that those provisions of Labour Act 13 of 2002 that were not amended, removed or reset (and its derivative regulations) are still applicable as long as they are not in conflict with provisions stipulated in the Omnibus Law. Thus, at the face value, there are two Laws governing the subject matter. As such, compilation and comparison are needed to capture all of the valid Employment related Law provisions.