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http://www.aljazeera.com/news/asia-pacific/2013/02/20132675333828387.html

      Indonesian workers demand higher pay  
     
      Tens of thousands rally in capital Jakarta against government plans to 
delay its planned increase of minimum wages.
      Last Modified: 06 Feb 2013 11:21  




      Al Jazeera's Step Vaessen speaks to the workers demanding higher minimum 
pay and better employment benefits

     
      Tens of thousands of people are protesting in Indonesia against 
government plans to delay its planned increase of the minimum wage.

      Said Iqbal, a union labour leader in Jakarta, the capital, told Al 
Jazeera on Wednesday that workers are continuing to demonstrate because they 
"need the government to implement a health insurance and pension system for all 
Indonesians".

           
            Many workers also say higher salaries are needed to cope with 
rising living costs [Al Jazeera] 
      Many workers say that higher salaries are needed to cope with the rising 
cost of living, including housing prices.

      Many employees have yet to receive a pay increase because employers are 
still negotiating with the government over the matter, causing delays.

      The fresh protests come a day after the government decided to raise 
minimum salaries by about 40 percent - to about $200.

      Massive demonstrations by unions demanding a fairer share of the 
country's economic growth, which stands at more than six percent, led to the 
national wage increase.

      However, some companies in Indonesia say the rise in labour costs is 
causing the country to rapidly lose its competition to others like China, and 
lead to higher unemployment. 

      Employer organisations warn that up to one million workers could also 
lose their jobs due to the minimum wage increase and more than 1,300 factories 
could also close down.

      Despite complaints from employers, labour unions say that minimum wages 
in China and Vietnam are still higher, but they do admit that the productivity 
of Indonesian workers should be increased.
     






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