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Wage Policy low to Fix Economic Failure


Government policy on the low wage which stated in Government Regulation Number 78 Year 2015 did not produce good result. Initially desirable to improve the economy even become a blunder for this country on improving the quality of economic improvement people especially on the ability of purchasing power.

Member of House of Representatives Commission IX, Adang Sudrajat strongly appealed to the government, especially the Ministry of Manpower to review the number 78 of the year 2015. He requested that the government can immediately terminate the policy.

"I see that the government is going to spur the improvement of the investment climate in all areas, but in fact, Government Regulation No. 78 of 2015 has caused many investors to refrain from investing," said politician from F PKS Adang Sudrajat, Monday (28/8).

Adang added, since the 2015 government regulation on wages is enacted, gini ratio is getting bigger. People with the lowest economic levels experienced a very drastic decline in purchasing power. The decline in purchasing power is so fast, that it raises concerns of entrepreneurs and investors to run production and investment businesses. This concern is more based on the return on investment costs that are threatened is not achieved.

In fact in the last two years, the construction of large and permanent infrastructure is widely seen in various regions. However, in reality, the business climate is characterized by low purchasing power and the still high number of poor people with international index, PPP (purchasing power parity) of 1US $ and 2 US $.

"In 2016, the World Bank calculated that 7.4 percent of Indonesia's population consumes under PPP US $ 1 per day and 49 percent below PPP US $ 2 per day. This shows that almost half the population of Indonesia in the poverty line with the index of 2 dollars, "said Adang.

Furthermore, the electoral district legislators Bandung and West Bandung is described, PP about wages that have been signed by President Jokowi on October 23, 2015 has been much reap criticism, especially the workers.

Adang rate, PP on this wage is too "over estimate". The reason, according to him, the government regards PP No. 78 of 2015 is a new breakthrough in the regulation of wages. Trobosan in question is, the formula of minimum wage increase that makes the minimum wage increase every year to be standard where the percentage increase in minimum wage is inflation plus economic growth.

"I am exploring that the government's policy on wages has given widespread space for employers to provide cheap wages. Due to the fact that there is, the emergence of multipek effects including the stagnation of the economy as a whole. Therefore, the Government needs to review in detail and seriously all regulations on this wage ", he explained.

Source: dpr.go.id

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