Batam – Batam employers rejected a workers' proposal on Friday for an increase in the regional minimum wage, leading to widespread grievances among Batam workers, who now have to bear the brunt of increased costs following the fuel price hike on Oct. 1.
The rejection was expressed by a representative of Batam employers during a tripartite meeting held at the office of Batam mayor, attended by Batam trade unions, representatives of employer associations and government officials.
The meeting went smoothly in the morning but in the afternoon, chairman of the Batam Employers Association Abidin walked out, expressing his disapproval of the workers' proposal for a steep increase in the minimum wage.
The worker unions proposed a 55 percent hike to Rp 988,260 from a previous Rp 635.000, but the employers said the increase was too high. The employers had earlier told the workers that they would only be able to provide a 10 percent increase.