mirage
I'm just wondering if anybody can answer the following questions about the current Minimum Wage Law in south Bali in Badung province:
Does it apply only to businesses?
And does it NOT apply to domestic employees like, say, a cleaning lady who comes to a private house which is never rented out to tourists or anyone else and in which there is never any business activity whatsoever?
Does it apply only to a full time employee? And not to a part time employee?
Can anyone post a link to the text of the current Minimum Wage Law that applies to south Bali in Badung so I can see it for myself?
Or tell me the name and contact information of a local expert who could tell me about the details of this law?
Thank you.
matsaleh
Here is a link to Minimum Wages for Indonesia.
Minimum Wages in Indonesia
I don't know if it applies to domestic employees in private service or how a rate is calculated for part-time employees. Maybe check out the FAQs :
FAQs on Minimum Wages in Indonesia
mirage
Thanks for the link. There's a wealth of information there. It's clear that the Minimum Wage Law only applies to full time employees, and not to part timers.
It seems like the Minimum Wage Law is designed to apply to certain "industries" in various "sectors," and is basically a business-oriented law aimed at companies who are trying to make a profit.
But there's nothing there that squarely addresses the issue of whether or not the Minimum Wage Law applies to domestic workers in private homes.
Does anybody out there who knows whether domestic employees in private homes are exempt from this law?
ronb
I think it applies to all full time workers. Of course, there are pembantus getting less because no-one complains and no-one checks. There are hotel workers getting less because they are "training". Some employers may put a financial value on fringe benefits like food. There are all sorts of "creative" approaches. But its around $3 per day which is close to poverty for a family so why would anyone really want to pay less?
BKT
I don't think they're exempt but if they're living with you and you're providing them a roof over their head and free food then you can pay them less than minimum wage.
gilbert de jong
ehm...just wondering, do any of you guys/girls actually have a contract with their pembantu?
I don't, but have the same pembantu for 4 years and each year I give her a raise.
no.idea
I have around 30 employees. I do not think any of them would be aware of a minimum wage ruling.
To me they are not just workers, they are part of my life and therefore become my friends.
aloha
Gilbert, how much of a yearly raise is common for pembantu's and gardners?
Georgie
mirage wroteI'm just wondering if anybody can answer the following questions about the current Minimum Wage Law in south Bali in Badung province:
Does it apply only to businesses?
And does it NOT apply to domestic employees like, say, a cleaning lady who comes to a private house which is never rented out to tourists or anyone else and in which there is never any business activity whatsoever?
Does it apply only to a full time employee? And not to a part time employee?
Can anyone post a link to the text of the current Minimum Wage Law that applies to south Bali in Badung so I can see it for myself?
Or tell me the name and contact information of a local expert who could tell me about the details of this law?
Thank you.
In our area it really depends on what the other cleaning type staff are being paid as they all talk and you don't want jealousy (we've been told). There have been some other threads already on the minimum wage and some heated discussions, I would ask your neighbours what they are paying so you are paying the wage for your area. We were told when were looking at a house that we could not convert the Pembantu room into an office, I explained we would never have a Pembantu and if we did they'd have a room bigger than that, we were promptly told this is not the way things are done here and that would cause jealousy, so each area is different.
gilbert de jong
imho, that would depend a bit on the startingwage..quality of work and speed of work.
And ofcourse the relation between the pembantu and you..
trust is in my book pretty important, because she could easily take a couple of watches and make a run for it, know what I mean?
she (my pembantu) works 9-17 from monday till friday, not living-in, and she makes now 1.2jt a month.
4 years ago she started with 700rb..ofcourse, now I don't keep-on raising her wage every year ;).
I consider myself very lucky having her, so it's only normal I would like it that she feels also happy with me as her BOS (Bukan Orang Susah, hahaha
ronb
aloha wroteGilbert, how much of a yearly raise is common for pembantu's and gardners?
Inflation in Indonesia over the last 2 years has been around 5%, but before that was closer to 10%. So you could think of around a 7% increase then just round it off to something that makes sense.
That is, of course, if you just want them to continue without any real increase. But if they are good enough to deserve some extra reward - then you need to think of a higher number.
sunnycoast
ronb wrote!.... its around $3 per day which is close to poverty for a family so why would anyone really want to pay less?
That's exactly what I was thinking.
gilbert de jong
think of a higher number...or for example show your appreciation from time 2 time by buying them something..(shoes/sandals, kebaya, etcetc..)
and if you're really nuts (like me), try and help to make sure her kid faces a "better" future by for example pay for the schooling of said kid.
aloha
Thanks Gilbert and Ron for info, it gives me an idea of an increase...i also give additional money for out of the ordinary things they help me with.
sakumabali
Gilbert I like the way you talk about your pembantu & your BOS (bukan orang susah), often it's Bule Otak Susah here :icon_e_wink:
Once there was an english guy in sanur who hit his pembantu in the face on the street in front of all the neighbors & wanted to report him (ok he was a male worker) to the police just because the BOS catched him giving a little of his dogfood to a hungry dog on the street (the BOS hat two rottweilers)
ridiculous & stupid!! Some bules thinking pembantus are their personal slave...
balibule
Wiwik wroteUnlike in Europe or other country, in Indonesia, registering your employees to the labour department and any kind of insurance is not a "MUST", there is no "BLACK Workers" status here. So, you don't need to worry about getting control from the labour department.
Hi Wiwik
Welcome to the forum!
Interesting what you write there. If someone is earning a salary, "should" they not report this to the goverment, apply for an NPWP and pay taxes?
Wiwik
hey there, I am new in this forum. ha..talking about minimum wage is always become hot issue among Indonesian employee. Most of employees don't really care or they don't even know about that regulation, and also the labour department won't doing anything unless they got complain from the employees. I think, for the labour department having a lot of unemployment is more pain in the ass than having under UMR (Minimum Wage ) workers.
Unlike in Europe or other country, in Indonesia, registering your employees to the labour department and any kind of insurance is not a "MUST", there is no "BLACK Workers" status here. So, you don't need to worry about getting control from the labour department.
I agreed with Gilbert, I prefer to give my pembantu a reward like Sandal, clothes or other instead of giving them money, because I experienced few times, gave my maid extra 200k, as a bonus because she was doing great job, but then, the following month, she was asking me " where is my 200k "?
hermit
Sadly,pembantu's in Indonesia are considered an "informal sector",where the regular rules of law and minimum wage do not apply.There have many law proposals to change this,but as all members of parliament profit of this fact,it is not going to change quickly.This is why people in places like Jakarta get away with paying 300.000 a month +room and board.
It is ironic that the government now requires conditions of work for indonesian migrant workers like in Malaysia that they do not have at home.
Besides giving a honest wage,it is certainly helpful for motivation to include things like bonuses for Galungan or a 13th month,which you should explain,will only be given when you are happy with their work..
Annam
sakumabali wroteGilbert I like the way you talk about your pembantu & your BOS (bukan orang susah), often it's Bule Otak Susah here :icon_e_wink:
Once there was an english guy in sanur who hit his pembantu in the face on the street in front of all the neighbors & wanted to report him (ok he was a male worker) to the police just because the BOS catched him giving a little of his dogfood to a hungry dog on the street (the BOS hat two rottweilers)
ridiculous & stupid!! Some bules thinking pembantus are their personal slave...
I am really shocked to hear this story : but sadly, it must go on. thank you for reminding me because tomorrow I am going to think what I can do to make something nice for our pembantu .... and every morning I will think first thing "what can I do to make her happy today to be here with us". thank you once more.
Wiwik
Hi Balibule,
thaks
theoretically, everyone who earns salary has to declare it, but really, there is no way to control this system. For the people who work for the big company, sometimes the company has policy to register all it;s employee to obtain the NPWP, it is regarding to the income taxes company has paid for it's employees, so in the end of the financial year when company had to make the balance statement, it can be used as an expenses.
Some of people having NPWP because they have intention in saving money as well. I registered myself to have NPWP because I didn't want to pay the FISCAL taxes every time I want to fly overseas which was 2.5 mill rp each trip :)
NPWP is good for people who own business,medium - up, so that you can get some benefit, like taxes refund of PPH (income taxes )and PPN (value added taxes ).
