Selasa, 15 September 2015

EFFECTIVENESS OF ORGANIZATION BOARD WAGE DETERMINATION IN THE MINIMUM WAGE
Ikomatussuniah, SH., MH
Lecturer Faculty of  Law
Sultan Agung University Tirtayasa
Email: ikomatussuniah80@yahoo.co.id
                                                      
Abstract
Wage compensation granted the employer to the employee for the performance of work done according to the agreement. Regional wage boards  is an organization supporting the government to formulate a policy of wage determination. Wage Board is a team consisting of elements of the organization of workers, employers, government and experts from university. How far the team's effectiveness in formulating wage policy to be set by the head of the study area should be reviewed restaurants. Writing this paper made by normative empirical methods, through the study of literature and the data and observations of the author as a participant in the consolidation of the National Wage Council in Grand Sahid,  Jakarta. Solidity team contained in the Board remuneration society together has implications for social justice wage Recommendations to the head of the region.
Keywords: Wages, Regional Wage Board team collaboration, social justice.

I. PRELIMINARY
   A. Background
         Employment is a transitional word of labor. Since the enactment of labor laws rules in the Act No. 13 of 2003, hence the term labor in accordance with Law No. 2 of 1974 on labor, turned into labor. Under article 1 paragraph 1 of the Employment Act, the definition of employment is all matters relating to labor at the time before, during and after the period of employment. About wages, is included into the category of employment arrangements before, during and after the period of employment. Before the period of employment, wages agreed in the employment agreement between employers and workers. During the period of employment, wages and the performance given in accordance employment agreement that has been agreed by both parties that employers and workers. After years of service, termination of employment may give rise to rights and obligations between workers and employers in the form of severance pay, gratuity and compensation. Under article 1 paragraph 30 Labor Law:
       The right of workers / laborers received and expressed in terms of money as a reward from the employer or the employer to workers / laborers are set and paid by an employment agreement, agreement or legislation, including allowances for workers / laborers and their families for a job and / or services that have been or will be performed.
       Employment issues, particularly the minimum wage is an issue that is crucial for Indonesia to become more competitive. Fixing the minimum wage will increase national competitiveness by reason of:[1]
a.       Relatively labor intensive companies, fluctuations and uncertainty for employers pay very influential in the certainty of doing business.
b.      Competitive wages, if the government helped compensate for some of the needs of workers (such as health and transport), will cause the price of competitive goods also thereby increasing sales and economic growth significantly.
c.       The minimum wage does not rational businessman would make it difficult to recruit new employees, thus supporting employment reduce unemployment.
       Wages, wage system and social justice is an issue that the author wants to put forward. Problems always occur every year when wages will be set by the government. Demos rolling the labor issues of employment one about wages and dynamics can certainly occur each year. Closing highways, anarchism, sweeping factories and mobilization of workers in large numbers certainly occur at the end of the year in which per November 1 each year based on Manpower ministry agreement No. 7 Year 2013 About Minimum Wage, the governor of each region to set and announce the Provincial Minimum Wage, then no later than November 21st, Minimum Wage Regency / City is determined and announced by the respective Governors.
       The problems that ensued in the field is when the laws that have been defined in a legal regulation turns on the field was not running as it should, for example, revealed in data provided by the Director General of Industrial Dispute of Manpower Ministry, he is Mr. R. Irianto Simbolon, SE., MM, in his presentation on activities Consolidation Forum of National Wage Council in Jakarta on September 7 to 9, 2014, stating Implementation of Presidential Instruction No. 9 Year 2013 About Minimum Wage determination in the framework of Business Continuity and Workers Welfare Improvement the Provincial Minimum Wage known that determination is not carried out simultaneously, and there is also the province that do not set the Provincial Minimum Wage.[2] As guardian of the determination of wages and wage policy, the Board of wages is a representation of the elements of workers' organizations, employers, government and academic experts, who regularly work together to achieve the goal Determination fair wages.[3]

    B. Problem Formulation
       Based on the explanation above, the core issues in this paper are:
1.      Efforts to increase the capacity of the Regional Wage Board team collaboration.
2.      Efforts to improve team collaboration Regional Wage Board thus also increasing the performance and effectiveness.
3.      How to optimize the implementation of the Regional Wage Board task in building teamwork.

     C. Purpose
1.      To know the efforts to increase the capacity of teamwork in the Regional Wage Council.
2.      To know and understand the effort to improve team collaboration Regional Wage Board thus also increasing the performance and effectiveness.
3.      To know and understand how to optimize the implementation of the Regional Wage Board task in building teamwork


II. EFFECTIVENESS OF ORGANIZATION BOARD WAGE DETERMINATION IN THE MINIMUM WAGE
    A. Wage Council
         Wages and wage system is one of the discussion in Act No. 13 of 2003 On Labor (Labor Law). Remuneration arrangements in Labor Law contained in chapter 88-98. In Article 98 specifically outlined on the Wages Council was formed to provide advice, judgment, and formulate a wage policy which will be determined by the government as well as for the development of the national wage system. Wage Council is a non structural tripartite. The councils consist of representatives from governments, employers' organizations, organizations of trade unions / labor unions, universities and experts. The national councils appointed and dismissed by the President, while the Provincial Wage Council, District / Municipal appointed and dismissed by the Governor / Regent / Mayor. More on Wages Council stipulated in the Decree of the President of the Republic of Indonesia Number 107 of 2004 About the Wage Council.
       The Wages Council of Provincial, District / City is a productive group that functions effectively and efficiently. In this group the number of people gathered oriented common goals of superior quality, compact and shaded by the values ​​of a clear and binding behavior. All members have the competence and integrity of the quality of a more or less balanced. The spirit of learning among group members is very high in order to achieve success and excellence together. The group is no longer just work together but to the extent of cooperation.[4] In the remuneration of the Board members behave as a team Provincial Wage Council, District / City is a group formed by the Department of Manpower and Transmigration Areas under the auspices ministry of manpower and transmigration who is directly responsible to the governor, regent / mayor, for implementing tasks that have been mandated in legislation, as well as membership is mandated within 3 years. And can only be extended for the first time next period. Ideally, a group including the Regional Wage Board directs the group to a higher level by building a team which, among others, has the following characteristics:[5]
a.    It consists of a number of skilled people, the same goals, encourage and empower each other.
b.   Sharing information to build a level of trust and high responsibility.
c.    Using clear boundaries to create the freedom and the responsibility to complete the task productively.
d.   Effectively uses time and talent as well as leadership group members distributed.
e.    Controlling themselves well in group decision making that contribute to the exceptional performance for members, groups and organizations.
     Regional Wage Council tasked to provide advice, judgment, and formulate a wage policy which will be determined by the government, as well as for the development of the wage system. The definition of wages under article 1 (a) of Government Regulation No. 08 of 1981 on the Protection of Wages are:
A reception in return from the employer to the worker for a job or services that have been or done, expressed or assessed in money terms are set according to an agreement, or legislation, and is paid on the basis of a labor agreement between the employer and the workers, including benefits both for the workers and their families.
     Regulation wages are minimum wage, the minimum wage is the lowest monthly wage consists of basic salary including fixed allowances set by the governor as a safety net.[6]  Minimum wages consists of the Minimum Wages, Minimum Wage Provincial or District / Municipal and Provincial Sectoral Minimum Wage or Sectoral Minimum Wage Regency / City. Minimum Wage Fixing based on the Living Needs by taking into account productivity and economic growth. Minimum wage is directed at achieving the Living Needs. The Living Needs is a comparison of the magnitude of the achievement of Minimum Wages on the value of the Living Needs in the same period. For the achievement of the governor set the stage of the Living Needs achievement in the form of a roadmap for the achievement of the Living Needs Specific Intensive Industries Company and for other companies considering the condition of the ability of the business world. Roadmap to achieving the Living Needs prepared with the following steps:[7]
a. Determine the attainment of a minimum wage equal to the Living Needs;
b. Predicting the Living Needs value until the end of the achievement;
c. Predicting the minimum wage each year;
d. Establishes the percentage achievement by comparing predictions the Living Needs minimum wage with the Living Needs prediction value every year.


    B. Minimum Wages Data
     Some of the data that can be analyzed for wage system that social justice can be seen in the data provided by the Director General of  Industrial Dispute and Social Security:
1.   Minimum Wage Provincial determined and announced by the respective governors simultaneously every November 1 in each year, but based on the exposure data from the Directorate General of Industrial Dispute and Social Security, note, that:
a)   2014 Minimum Wage Provincial, provinces set simultaneously in a timely 1st November 2013, namely NAD, North Sumatra, Riau, Riau, South Sumatra, Jakarta, Sulawesi, Central Sulawesi and West Papua.
b)   Minimum Wage Provincial , provinces set in 2014 before 1st November 2013, namely West Sumatra, Jambi, Babel, Bengkulu, Banten, NTB, NTT, West Kalimantan, South Kalimantan, Central Kalimantan, East Kalimantan, Gorontalo, North Sulawesi, Southeast Sulawesi, Maluku, Papua.
c)   Minimum Wage Provincial,  provinces set in 2014 after 1st November 2013, namely Lampung, Bali, North Maluku, West Sulawesi.
d)  Setting the province not only set the Minimum Wage Provincial in 2014 namely West Java, East Java, Central Java and Yogyakarta.
2.   At the provincial minimum wage labor intensive industries, which are mandated in Presidential Instruction No. 9 in 2013 and Labor Minister Instruction No. 7 of  2013: "Determination of Minimum Wage Policy in the Context of Business Continuity and Improvement Workers Welfare", only the NTT Province are set at Rp. 1,125,000.
3.   Top Minimum Wage Provincial Jakarta is Rp. 2.441 million, and the highest percentage increase in Minimum Wage Provincial 2014 Bali Province with 30.62% rise.
4.   The lowest Minimum Wage Provincial is NTT Rp. 1,150,000, and the lowest percentage increase in 2104 Minimum Wage Provincial is Kaltim by 7.66%.
5.   There are 16 provinces that establish greater Minimum Wage Provincial equal to the Living Needs, namely: NAD, North Sumatra, West Sumatra, Riau, Riau, Jambi, Bengkulu, Lampung, Banten, Bali, Jakarta, South Kalimantan, East Kalimantan, North Sulawesi, South Sulawesi, Papua. In 2013 there were 11 provinces greater Minimum Wage Provincial equal to the Living Needs thus in 2014 increased 5 provinces.
6.   There are four provinces set Minimum Wage Provincial  90 to 99% of Living Needs, namely: South Sumatra, Babel, Southeast Sulawesi, Central Sulawesi.
7.   There are six provinces set Minimum Wage Provincial 80 to 89%of Living Needs, namely: NTB, West Kalimantan, Central Kalimantan, Gorontalo, North Maluku, West Papua.
8.   There are three provinces set Minimum Wage Provincial <80% of Living Needs, namely: NTT, West Sulawesi and Maluku.
When observed from the data presented above, it appears that the state wage and the wage system is not equitable and equal wage systems in force has not happened because there are many issues related to regional wage boards in charge, namely:
a.    Wage Council Provincial / District / Municipal ordinances not yet fully understand the survey and determination value of Living Needs appropriate legislation, so that wage setting mechanism is not in accordance with the provisions.
b.   Not optimal coordination of the National Wage Council, Wages Council Wage Council Provincial and district / city.
c.    Yet the formation of the technical guidelines on the Roadmap to achieving the Living Needs (Road Map), as mandated in Labor Minister Instruction Number 7 of 2013.
d.   Lack of budget support for the implementation of the tasks Wage Council.

   C. Wages Social Justice
       Wage system of social justice cannot be separated from the role of all parties. In the labor parties related to each other are workers, employers and government. Workers, employers and governments are a team that must work together in formulating recommendations wage determination which will be submitted to the Governor for enactment.
       Employment is a field, this includes of law, economics, statistics and other scientific scope. If viewed from the field of law based regulation, in fact the government has given clear rules in building a socially just system of remuneration. Some wage regulations issued by the government to create a socially just wage system is:[8]
a.       1945 Article 27 paragraph (2).
b.      Law No. 13 of 2003 on Manpower.
c.       Indonesian Government Regulation No. 8 of 1981 on the Protection of Wages.
d.      Indonesian Government Regulation No. 72 Year 2001 on Income Tax on Income Received by Workers to Amounting Provincial Minimum Wage Minimum Wage Or Regency / City.
e.       Decree of the President of the Republic of Indonesia Number 107 of 2004 on Wage Council.
f.       Instruction President of the Republic of Indonesia Number 9 Year 2013 on Establishment of Minimum Wage Policy in the Context of Business Continuity and Improvement Workers Welfare.
g.      Minister of Manpower and Transmigration Republic of Indonesia No. KEP-231 / Men / 2003 on Procedures for the Implementation of Minimum Wage Suspension.
h.      Minister of Manpower and Transmigration Republic of Indonesia Number Kep-49 / Men / 2004 on Provisions Wage Scale Structure.
i.        Minister of Manpower and Transmigration Republic of Indonesia No. KEP-102 / Men / VI / 2004 on Overtime and Overtime Wages.
j.        Regulation of the Minister of Manpower and Transmigration Republic of Indonesia No. Per-04 / Men / VI / 1994 on religious holiday allowance for Workers in the Company.
k.      Regulation of the Minister of Manpower and Transmigration Republic of Indonesia No. Per-02 / Men / VI / 1999 on Wage Distribution Service by Business Hotels Restaurants Tourism Business and Other.
l.        Regulation of the Minister of Manpower and Transmigration Republic of Indonesia No. Per-03 / Men / I / 2005 on Procedures for the Proposed Membership of the National Wage Council.
m.    Regulation of the Minister of Manpower and Transmigration Republic of Indonesia Number 13 Year 2012 on Components and Implementation Phases Achievement Living Needs.
n.      Guidelines for Survey and Data Processing Living Needs.
o.      Regulation of the Minister of Industry of the Republic of Indonesia Number 51 / M-IND / PER / 10/2013.
p.      Circular of the Minister of Labour of the Republic of Indonesia Number SE-01 / Men / 1982 about the Directive Implementation of Government Regulation No. 8 of 1981.
q.      Circular of the Minister of Labour of the Republic of Indonesia Number SE-07 / Men / 1990 About Grouping Components Wages and Income Non wage.
r.        Circular of the Minister of Labour of the Republic of Indonesia Number SE-05 / Men / BW / 1998 on wages sent home Not Work Toward Termination.
s.       Chairman of the National Wage Council Decision No. 01 / National Wage Council / XII / 2006 on Working Procedure of the National Wage Council.
     Legal arrangements by the government, although not perfect, at least the government's efforts in making concrete and construct a wage regulation for the creation of employment systems are ideal for the realization of social justice. Social justice  talking about the welfare of all people in an independent state. Social justice is  not just talking in the context of enforcement of legislation, but talk broadly about the rights of citizens in a country. Social justice is a condition where the country's wealth is distributed fairly and equitably to all people. In social justice every person is entitled to receive "basic human needs". According to Abraham Maslow's basic human needs are the elements needed by humans in maintaining the balance of physiology and psychology.[9] Getting a job and a decent income for humanity is the element needed by the human physiology to maintain balance. Income earned by good wages will ideally improve their living and working lives. But it turns out the wage increase does not automatically raise the standard of living and purchasing power of workers. This occurs if the inflation rate is not controlled. What's the point wages rise, if inflation rises lead to a whole needs going up. And conversely, if inflation can be controlled, minimal inflation below this level, then the wage increase will have a significant impact on the level of purchasing power and welfare of workers. Social justice against the wage system did not just rely on the calculation of wages are normative, but the central government's macro-economic policy can affect the effectiveness of the value of wage increases. The macro policy,  for example the government's decision to raise the electricity tariff, fuel hike and legal uncertainty. This all can lead to uncontrolled inflation rate, and no matter how high the wage is raised, if inflation is higher than the value of the Living Needs, then it was all in vain, in the sense of permanent workers cannot live a decent and employers are increasingly stressed due to rising production costs and labor costs , If this is allowed, then the investor will eventually bankrupt and revoke investment. Of course this is all going to create new problems.
   D. Stages of Development and Regional Wage Board Activities
       Regional wage boards are in the productive phase,[10] the Wages Council has established norms of interaction, interaction group  with the team, with the level of tolerance, trust and stronger cooperation. A key pillar in industrial relations is wages. At the micro level in the company, wage issues have strategic influence in maintaining and improving the productivity of workers and enterprises and the welfare of workers / laborers. Therefore, wages need to be managed through good management as an integral part in the company, so effective in minimizing the problem of minimum wage fixing. To strengthen the system of remuneration in setting wages with social justice which recommended Wage Council, it is necessary to analyze the following:
1.      Establish Communication System Wage Council[11]
     In order duties and functions of the Provincial Wage Council and District / City are include: Providing advice and consideration in the establishment of a minimum wage; Provide advice and application of the wage system at the provincial or district / city and Preparing materials for the formulation of national wage system development, are still encountered obstacles or problems.
a. Wages Council issues include:
1)      Not yet fully understood by the Provincial Wage Council or District / City about how to survey and determination value The Living Needs corresponding legislation in force, so that the minimum wage setting mechanism is not in accordance with provisions.
2)      Not optimal coordination and synergy between the National Wage Council, Provincial and Regency / City.
3)      Limited submission of recommendations related to the development and application of the wage system.
4)      Lack of budget support for the implementation of the tasks Wage Council.
5)      The governor has not fully considering the recommendation of the Remuneration Council in setting the Minimum wage of province.
b. Efforts Taken
       In order to streamline tasks, especially related to the implementation of the Wage Board remuneration and the national wage system needs to be:
1)      Build networks and communication systems between the National Wage Council, Provincial Wage Council and Remuneration Council District / City of networked communication via website Wage Council.
2)      Carry out studies of remuneration in accordance with the characteristics of each area. Governor / Regent / Mayor and relevant agencies to encourage all companies to apply the structure and scale of wages by making circular.
3)      Allocate budget Wage Council on the budget.
4)      To disseminate the laws and regulations on labor remuneration in general and especially among local government officials.
c. Steps In Building Systems Networking / Communications Wage Council:
1)  Increasing the capacity of Provincial Wage Council members and District / City via:
a)      Training, workshops and technical guidance and the Regional Centre organized through deconcentration funds.
b)      Assistance by the National Wages Council on Regional Wage Board and district / city budgeted by the state budget.
2) Strengthening consultation and coordination to synergize the Wage Council:
a)      Consolidation Forum Wages Council regional level and national level.
b)      Forum Consolidation of the National Wage Council levels.
c)      Strengthening coordination and communication between the National Wage Council, Provincial and Regency / City.
d)     Briefing members of the Board of Provincial Wage and Wage Council District / City.
3) Making technical guidelines (guidelines) and implementation guidelines (guidelines) procedures for the implementation of the tasks and functions of the Remuneration Council.
2. Implementation Instruments The Fair Wages[12]
      In order to realize the application of equitable remuneration and competitiveness, there are 3 (three) instruments that can be done for the stakeholders (stakeholders) include:
a.       Framework application structure and scale of wages in the company.
b.      Studies wage increase more competitive and equitable.
c.       Strategy periodic review of wages.
The explanation in brief we submit the following:
1.       Implementation Framework Structure And The Wage Scale Company
a.       Basis of remuneration are: Balance; Equality; Continuity.
b.      Type the structure and scale of wages in the enterprise: Structure and modest wage scale; The structure and scale of wages advance.
c.       Basic modest wage scale include: Years of service; Person (attitude); Position (positions); Performance (performance).
d.      Efforts made to popularize the structure and scale of wages include: Guidance by the Agency in the field of employment; Training and development; Instituted in industrial relations means such as: Standard operating procedure; Bipartite forum; A tripartite body; Company regulations; Collective labor agreement. Law enforcement (reward and punishment).
2.  Basics Study of Improved Wages a More Competitive and Fair
a.       There must be an effort to realize a competitive wage and justice through not solely on a review of basic salary, but it can be pursued through bonuses, incentives and other benefits.
b.      For foreign investors into Indonesia, payroll is not only based on the minimum wage, but it must be more than minimum wage.
c.       Standards and professional certification.
3.  Periodic review of strategies Wages
a.   A review of the structure and scale of wages periodically conducted by business groups to consider: Productivity; periodization of the review; the competitiveness of companies in the business groups concerned; salary survey.
b. Making a means of industrial relations.
3. Government Policy in Macro Economy Improvement[13]
       Based on the presentation and briefing the Minister of Manpower and Transmigration, it is understood some subjects, namely:
1. Highlights
 The increase in minimum wage does not automatically increase the purchasing power of workers. It is caused by uncontrolled inflation, The absence of standardized survey mechanism of Living Needs, calculation methods regression and projections in the current year has not been uniform and the absence of an exhaustive review of the Living Needs components.
          Therefore it is recommended that: Teams need to streamline the control of inflation, Mechanisms need to be implemented standardized survey of Living Needs, necessary to unify the method of calculation of regression and projection of Living Needs in the current year, and necessary to study in depth the addition of Living Needs components.
2. Highlights
       With the entry into force of the ASEAN Economic Community in 2015, the need for more intense cooperation between the government, employers and workers to improve the competitiveness of human resources, through: Improving the competence of workers / laborers who facilitated local government and the business world (company);  Increased competence involving training institutions; Their professional certification.
3. Highlights
 The role of local government related to the protection of wages: Setting wages and suspension in accordance with the provisions of,  Increase the number and improve the capacity of personnel in the field of supervision and dispute resolution, Wage Council strengthens the region through the increased budget allocation and affirmation of tasks and functions of regional wage board members, In order for wage policy gradually disseminated throughout the province and district / city, Preparation of the Roadmap to the achievement of the Living Needs.





III. CONCLUSIONS AND SUGGESTIONS
       Wage Council is a non-structural organization entrusted by legislation to provide advice, judgment, and formulate a wage policy which will be determined by the government, as well as for the development of the wage system. Regional Wage Council implementing its duty to provide policy recommendations to the heads of regional wage system. Regional Wage Council is a kind of productive groups, because it is in this group of people are gathered a number of similarities oriented wage policy objectives, namely the establishment of social justice, compact and shaded by the value of a clear and binding behavior contained and arranged in order. To be able to keep the conduciveness and ensure the implementation of a wage that has been agreed in the employment agreement, the government as a holder of public policy based on Wages Council intervene in drafting and enforcing an ideal wage system so that social justice for all Indonesian people in the five precepts of The Indonesian Ideology, Which is Pancasila,  can be accomplished well. Social justice created in the wage system to encourage the creation of a welfare state.
       To increase the effectiveness of the task Wages Council as a group / team in order to establish a system of good and fair wage needs be done:
1.      Increasing the capacity of members of the Provincial Wage Council, District / City through training, workshops or integrated technical guidance and mentoring by the National Wages Council.
2.      Strengthening consultation and coordination fatherly synergies through consolidation forum Wages Council Wage Council regional level, forum Wages Council consolidated the national level and strengthening the coordination of communications between the National Wage Council, Provincial and Regency / City.
3.      Optimizing the execution of tasks Wage Council to undertake the following strategies:
a. Build communication systems or networks Wage Council, for example, by conducting meetings between the National Wage Council, Provincial and District / City.
b. Conducting a study according to the characteristics of each region.
c. National Wage Council, Provincial Wage Council, Wage Council District / City makes research paper on the impact of minimum wage on employment growth.
d. Regional Wage Board budget allocation in the budget needs to be increased.
       Regional Wage Council as an organization are appropriately in deciding a policy based on an agreement between the members of the group which is describing a teamwork, so aim to be able to spawn a system of remuneration policy recommendations forwarded to the head of the region, can make a positive contribution to all elements of society, The workers, employers and the government itself is of course image. Work productivity to be increased by promoting teamwork, in order to function in the form of Regional Wage Council be effective.





LIST OF REFERENCE
Anton J Supit (2014), Application Papers “The Fair Wage System (Perspective Employers' Association)”, presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya, Jakarta.
Esping-Andersen (2006) Darmawan Triwibowo dan Sugeng Bahagijo,  Mimpi Negara Kesejahteraan, Jakarta, LP3ES.

Juniarso Ridwan & Achmad Sodik Sudrajat , (2010), Hukum Administrasi Negara dan Kebijakan Publik, Bandung, Nuansa.
R.Irianto Simbolon, (2014), paper "Building Communication System Wage Council (National, Provincial and District / City)", presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya, Jakarta.
The Ministry of Education and Culture (2013), Dictates Training Prajabatan group 3, Building Teamwork, the fourth edition of the first printing, the Ministry of Education and Culture, Central Jakarta.
Association of Regulatory Affairs Directorate general of Industrial Dispute Wage and Social Security,(2014), Ministry of Manpower of Republic Indonesia.
Law  Decree of The Republic of Indonesia Number 13 of 2003 on Manpower.
Instruction President of the Republic of Indonesia Number 9 of 2013 On Establishment of Minimum Wage Policy in the Context of Business Continuity And Improvement Workers Welfare.
Decree of the President of the Republic of Indonesia Number 107 of 2004 on Wage Council.
Labor Minister Instruction No. 7 of  2013 on Minimum Wage.
Recommendation Group 1, 2 and 3 in the Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya Jakarta.
http://www.kapukonline.com/2012/02/kebutuhandasarmanusiaabrahammaslow.html. Sunday, 14/09/2014. 16:22 PM.



[1] Anton J Supit as vice chairman of the national wage employers element , Papers " The Fair Wage System Implementation ( Perspective Employers' Association ) " , presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya , Jakarta , on September 8 , 2014.

[2] R.Irianto Simbolon , paper "Building Communication System Wage Council (National , Provincial and District / City ) " , presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya , Jakarta , on September 7 , 2014.

[3] Training Prajabatan group 3 , Build Team research agreement , the fourth edition of the first printing, the Ministry of Education and Culture , Depok , 2013 , p. 1 

[4] Ibid . p. 12 .

[5]  Ibid. p. 13
[6] Article 1 paragraph 1 manpower and transmigration minister Regulations No. 7 of 2013 About Minimum Wage

[7] Article 4 manpower and transmigration minister Regulations No. 7 of 2013 About Minimum Wage


[8] Association of Regulatory Affairs Directorate general of  Industrial Dispute of Wage and Social Security, 2014.

[9] http://www.kapukonline.com/2012/02/kebutuhandasarmanusiaabrahammaslow.html. Sunday, 14/09/2014. 16:22 hrs.

[10] Training Prajabatan group 3 , Build Team research agreement , Op.cit . p. 26.

[11] Recommendation Group 1 Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya Jakarta.

[12]Recommendations Group 2 in the Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya, Jakarta .

[13]Recommendations Group 3 in the Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya, Jakarta .
 EFFECTIVENESS OF ORGANIZATION BOARD WAGE DETERMINATION IN THE MINIMUM WAGE
Ikomatussuniah, SH., MH
Lecturer Faculty of  Law
Sultan Agung University Tirtayasa
Email: ikomatussuniah80@yahoo.co.id
                                                      
Abstract
Wage compensation granted the employer to the employee for the performance of work done according to the agreement. Regional wage boards  is an organization supporting the government to formulate a policy of wage determination. Wage Board is a team consisting of elements of the organization of workers, employers, government and experts from university. How far the team's effectiveness in formulating wage policy to be set by the head of the study area should be reviewed restaurants. Writing this paper made by normative empirical methods, through the study of literature and the data and observations of the author as a participant in the consolidation of the National Wage Council in Grand Sahid,  Jakarta. Solidity team contained in the Board remuneration society together has implications for social justice wage Recommendations to the head of the region.
Keywords: Wages, Regional Wage Board team collaboration, social justice.

I. PRELIMINARY
   A. Background
         Employment is a transitional word of labor. Since the enactment of labor laws rules in the Act No. 13 of 2003, hence the term labor in accordance with Law No. 2 of 1974 on labor, turned into labor. Under article 1 paragraph 1 of the Employment Act, the definition of employment is all matters relating to labor at the time before, during and after the period of employment. About wages, is included into the category of employment arrangements before, during and after the period of employment. Before the period of employment, wages agreed in the employment agreement between employers and workers. During the period of employment, wages and the performance given in accordance employment agreement that has been agreed by both parties that employers and workers. After years of service, termination of employment may give rise to rights and obligations between workers and employers in the form of severance pay, gratuity and compensation. Under article 1 paragraph 30 Labor Law:
       The right of workers / laborers received and expressed in terms of money as a reward from the employer or the employer to workers / laborers are set and paid by an employment agreement, agreement or legislation, including allowances for workers / laborers and their families for a job and / or services that have been or will be performed.
       Employment issues, particularly the minimum wage is an issue that is crucial for Indonesia to become more competitive. Fixing the minimum wage will increase national competitiveness by reason of:[1]
a.       Relatively labor intensive companies, fluctuations and uncertainty for employers pay very influential in the certainty of doing business.
b.      Competitive wages, if the government helped compensate for some of the needs of workers (such as health and transport), will cause the price of competitive goods also thereby increasing sales and economic growth significantly.
c.       The minimum wage does not rational businessman would make it difficult to recruit new employees, thus supporting employment reduce unemployment.
       Wages, wage system and social justice is an issue that the author wants to put forward. Problems always occur every year when wages will be set by the government. Demos rolling the labor issues of employment one about wages and dynamics can certainly occur each year. Closing highways, anarchism, sweeping factories and mobilization of workers in large numbers certainly occur at the end of the year in which per November 1 each year based on Manpower ministry agreement No. 7 Year 2013 About Minimum Wage, the governor of each region to set and announce the Provincial Minimum Wage, then no later than November 21st, Minimum Wage Regency / City is determined and announced by the respective Governors.
       The problems that ensued in the field is when the laws that have been defined in a legal regulation turns on the field was not running as it should, for example, revealed in data provided by the Director General of Industrial Dispute of Manpower Ministry, he is Mr. R. Irianto Simbolon, SE., MM, in his presentation on activities Consolidation Forum of National Wage Council in Jakarta on September 7 to 9, 2014, stating Implementation of Presidential Instruction No. 9 Year 2013 About Minimum Wage determination in the framework of Business Continuity and Workers Welfare Improvement the Provincial Minimum Wage known that determination is not carried out simultaneously, and there is also the province that do not set the Provincial Minimum Wage.[2] As guardian of the determination of wages and wage policy, the Board of wages is a representation of the elements of workers' organizations, employers, government and academic experts, who regularly work together to achieve the goal Determination fair wages.[3]

    B. Problem Formulation
       Based on the explanation above, the core issues in this paper are:
1.      Efforts to increase the capacity of the Regional Wage Board team collaboration.
2.      Efforts to improve team collaboration Regional Wage Board thus also increasing the performance and effectiveness.
3.      How to optimize the implementation of the Regional Wage Board task in building teamwork.

     C. Purpose
1.      To know the efforts to increase the capacity of teamwork in the Regional Wage Council.
2.      To know and understand the effort to improve team collaboration Regional Wage Board thus also increasing the performance and effectiveness.
3.      To know and understand how to optimize the implementation of the Regional Wage Board task in building teamwork


II. EFFECTIVENESS OF ORGANIZATION BOARD WAGE DETERMINATION IN THE MINIMUM WAGE
    A. Wage Council
         Wages and wage system is one of the discussion in Act No. 13 of 2003 On Labor (Labor Law). Remuneration arrangements in Labor Law contained in chapter 88-98. In Article 98 specifically outlined on the Wages Council was formed to provide advice, judgment, and formulate a wage policy which will be determined by the government as well as for the development of the national wage system. Wage Council is a non structural tripartite. The councils consist of representatives from governments, employers' organizations, organizations of trade unions / labor unions, universities and experts. The national councils appointed and dismissed by the President, while the Provincial Wage Council, District / Municipal appointed and dismissed by the Governor / Regent / Mayor. More on Wages Council stipulated in the Decree of the President of the Republic of Indonesia Number 107 of 2004 About the Wage Council.
       The Wages Council of Provincial, District / City is a productive group that functions effectively and efficiently. In this group the number of people gathered oriented common goals of superior quality, compact and shaded by the values ​​of a clear and binding behavior. All members have the competence and integrity of the quality of a more or less balanced. The spirit of learning among group members is very high in order to achieve success and excellence together. The group is no longer just work together but to the extent of cooperation.[4] In the remuneration of the Board members behave as a team Provincial Wage Council, District / City is a group formed by the Department of Manpower and Transmigration Areas under the auspices ministry of manpower and transmigration who is directly responsible to the governor, regent / mayor, for implementing tasks that have been mandated in legislation, as well as membership is mandated within 3 years. And can only be extended for the first time next period. Ideally, a group including the Regional Wage Board directs the group to a higher level by building a team which, among others, has the following characteristics:[5]
a.    It consists of a number of skilled people, the same goals, encourage and empower each other.
b.   Sharing information to build a level of trust and high responsibility.
c.    Using clear boundaries to create the freedom and the responsibility to complete the task productively.
d.   Effectively uses time and talent as well as leadership group members distributed.
e.    Controlling themselves well in group decision making that contribute to the exceptional performance for members, groups and organizations.
     Regional Wage Council tasked to provide advice, judgment, and formulate a wage policy which will be determined by the government, as well as for the development of the wage system. The definition of wages under article 1 (a) of Government Regulation No. 08 of 1981 on the Protection of Wages are:
A reception in return from the employer to the worker for a job or services that have been or done, expressed or assessed in money terms are set according to an agreement, or legislation, and is paid on the basis of a labor agreement between the employer and the workers, including benefits both for the workers and their families.
     Regulation wages are minimum wage, the minimum wage is the lowest monthly wage consists of basic salary including fixed allowances set by the governor as a safety net.[6]  Minimum wages consists of the Minimum Wages, Minimum Wage Provincial or District / Municipal and Provincial Sectoral Minimum Wage or Sectoral Minimum Wage Regency / City. Minimum Wage Fixing based on the Living Needs by taking into account productivity and economic growth. Minimum wage is directed at achieving the Living Needs. The Living Needs is a comparison of the magnitude of the achievement of Minimum Wages on the value of the Living Needs in the same period. For the achievement of the governor set the stage of the Living Needs achievement in the form of a roadmap for the achievement of the Living Needs Specific Intensive Industries Company and for other companies considering the condition of the ability of the business world. Roadmap to achieving the Living Needs prepared with the following steps:[7]
a. Determine the attainment of a minimum wage equal to the Living Needs;
b. Predicting the Living Needs value until the end of the achievement;
c. Predicting the minimum wage each year;
d. Establishes the percentage achievement by comparing predictions the Living Needs minimum wage with the Living Needs prediction value every year.


    B. Minimum Wages Data
     Some of the data that can be analyzed for wage system that social justice can be seen in the data provided by the Director General of  Industrial Dispute and Social Security:
1.   Minimum Wage Provincial determined and announced by the respective governors simultaneously every November 1 in each year, but based on the exposure data from the Directorate General of Industrial Dispute and Social Security, note, that:
a)   2014 Minimum Wage Provincial, provinces set simultaneously in a timely 1st November 2013, namely NAD, North Sumatra, Riau, Riau, South Sumatra, Jakarta, Sulawesi, Central Sulawesi and West Papua.
b)   Minimum Wage Provincial , provinces set in 2014 before 1st November 2013, namely West Sumatra, Jambi, Babel, Bengkulu, Banten, NTB, NTT, West Kalimantan, South Kalimantan, Central Kalimantan, East Kalimantan, Gorontalo, North Sulawesi, Southeast Sulawesi, Maluku, Papua.
c)   Minimum Wage Provincial,  provinces set in 2014 after 1st November 2013, namely Lampung, Bali, North Maluku, West Sulawesi.
d)  Setting the province not only set the Minimum Wage Provincial in 2014 namely West Java, East Java, Central Java and Yogyakarta.
2.   At the provincial minimum wage labor intensive industries, which are mandated in Presidential Instruction No. 9 in 2013 and Labor Minister Instruction No. 7 of  2013: "Determination of Minimum Wage Policy in the Context of Business Continuity and Improvement Workers Welfare", only the NTT Province are set at Rp. 1,125,000.
3.   Top Minimum Wage Provincial Jakarta is Rp. 2.441 million, and the highest percentage increase in Minimum Wage Provincial 2014 Bali Province with 30.62% rise.
4.   The lowest Minimum Wage Provincial is NTT Rp. 1,150,000, and the lowest percentage increase in 2104 Minimum Wage Provincial is Kaltim by 7.66%.
5.   There are 16 provinces that establish greater Minimum Wage Provincial equal to the Living Needs, namely: NAD, North Sumatra, West Sumatra, Riau, Riau, Jambi, Bengkulu, Lampung, Banten, Bali, Jakarta, South Kalimantan, East Kalimantan, North Sulawesi, South Sulawesi, Papua. In 2013 there were 11 provinces greater Minimum Wage Provincial equal to the Living Needs thus in 2014 increased 5 provinces.
6.   There are four provinces set Minimum Wage Provincial  90 to 99% of Living Needs, namely: South Sumatra, Babel, Southeast Sulawesi, Central Sulawesi.
7.   There are six provinces set Minimum Wage Provincial 80 to 89%of Living Needs, namely: NTB, West Kalimantan, Central Kalimantan, Gorontalo, North Maluku, West Papua.
8.   There are three provinces set Minimum Wage Provincial <80% of Living Needs, namely: NTT, West Sulawesi and Maluku.
When observed from the data presented above, it appears that the state wage and the wage system is not equitable and equal wage systems in force has not happened because there are many issues related to regional wage boards in charge, namely:
a.    Wage Council Provincial / District / Municipal ordinances not yet fully understand the survey and determination value of Living Needs appropriate legislation, so that wage setting mechanism is not in accordance with the provisions.
b.   Not optimal coordination of the National Wage Council, Wages Council Wage Council Provincial and district / city.
c.    Yet the formation of the technical guidelines on the Roadmap to achieving the Living Needs (Road Map), as mandated in Labor Minister Instruction Number 7 of 2013.
d.   Lack of budget support for the implementation of the tasks Wage Council.

   C. Wages Social Justice
       Wage system of social justice cannot be separated from the role of all parties. In the labor parties related to each other are workers, employers and government. Workers, employers and governments are a team that must work together in formulating recommendations wage determination which will be submitted to the Governor for enactment.
       Employment is a field, this includes of law, economics, statistics and other scientific scope. If viewed from the field of law based regulation, in fact the government has given clear rules in building a socially just system of remuneration. Some wage regulations issued by the government to create a socially just wage system is:[8]
a.       1945 Article 27 paragraph (2).
b.      Law No. 13 of 2003 on Manpower.
c.       Indonesian Government Regulation No. 8 of 1981 on the Protection of Wages.
d.      Indonesian Government Regulation No. 72 Year 2001 on Income Tax on Income Received by Workers to Amounting Provincial Minimum Wage Minimum Wage Or Regency / City.
e.       Decree of the President of the Republic of Indonesia Number 107 of 2004 on Wage Council.
f.       Instruction President of the Republic of Indonesia Number 9 Year 2013 on Establishment of Minimum Wage Policy in the Context of Business Continuity and Improvement Workers Welfare.
g.      Minister of Manpower and Transmigration Republic of Indonesia No. KEP-231 / Men / 2003 on Procedures for the Implementation of Minimum Wage Suspension.
h.      Minister of Manpower and Transmigration Republic of Indonesia Number Kep-49 / Men / 2004 on Provisions Wage Scale Structure.
i.        Minister of Manpower and Transmigration Republic of Indonesia No. KEP-102 / Men / VI / 2004 on Overtime and Overtime Wages.
j.        Regulation of the Minister of Manpower and Transmigration Republic of Indonesia No. Per-04 / Men / VI / 1994 on religious holiday allowance for Workers in the Company.
k.      Regulation of the Minister of Manpower and Transmigration Republic of Indonesia No. Per-02 / Men / VI / 1999 on Wage Distribution Service by Business Hotels Restaurants Tourism Business and Other.
l.        Regulation of the Minister of Manpower and Transmigration Republic of Indonesia No. Per-03 / Men / I / 2005 on Procedures for the Proposed Membership of the National Wage Council.
m.    Regulation of the Minister of Manpower and Transmigration Republic of Indonesia Number 13 Year 2012 on Components and Implementation Phases Achievement Living Needs.
n.      Guidelines for Survey and Data Processing Living Needs.
o.      Regulation of the Minister of Industry of the Republic of Indonesia Number 51 / M-IND / PER / 10/2013.
p.      Circular of the Minister of Labour of the Republic of Indonesia Number SE-01 / Men / 1982 about the Directive Implementation of Government Regulation No. 8 of 1981.
q.      Circular of the Minister of Labour of the Republic of Indonesia Number SE-07 / Men / 1990 About Grouping Components Wages and Income Non wage.
r.        Circular of the Minister of Labour of the Republic of Indonesia Number SE-05 / Men / BW / 1998 on wages sent home Not Work Toward Termination.
s.       Chairman of the National Wage Council Decision No. 01 / National Wage Council / XII / 2006 on Working Procedure of the National Wage Council.
     Legal arrangements by the government, although not perfect, at least the government's efforts in making concrete and construct a wage regulation for the creation of employment systems are ideal for the realization of social justice. Social justice  talking about the welfare of all people in an independent state. Social justice is  not just talking in the context of enforcement of legislation, but talk broadly about the rights of citizens in a country. Social justice is a condition where the country's wealth is distributed fairly and equitably to all people. In social justice every person is entitled to receive "basic human needs". According to Abraham Maslow's basic human needs are the elements needed by humans in maintaining the balance of physiology and psychology.[9] Getting a job and a decent income for humanity is the element needed by the human physiology to maintain balance. Income earned by good wages will ideally improve their living and working lives. But it turns out the wage increase does not automatically raise the standard of living and purchasing power of workers. This occurs if the inflation rate is not controlled. What's the point wages rise, if inflation rises lead to a whole needs going up. And conversely, if inflation can be controlled, minimal inflation below this level, then the wage increase will have a significant impact on the level of purchasing power and welfare of workers. Social justice against the wage system did not just rely on the calculation of wages are normative, but the central government's macro-economic policy can affect the effectiveness of the value of wage increases. The macro policy,  for example the government's decision to raise the electricity tariff, fuel hike and legal uncertainty. This all can lead to uncontrolled inflation rate, and no matter how high the wage is raised, if inflation is higher than the value of the Living Needs, then it was all in vain, in the sense of permanent workers cannot live a decent and employers are increasingly stressed due to rising production costs and labor costs , If this is allowed, then the investor will eventually bankrupt and revoke investment. Of course this is all going to create new problems.
   D. Stages of Development and Regional Wage Board Activities
       Regional wage boards are in the productive phase,[10] the Wages Council has established norms of interaction, interaction group  with the team, with the level of tolerance, trust and stronger cooperation. A key pillar in industrial relations is wages. At the micro level in the company, wage issues have strategic influence in maintaining and improving the productivity of workers and enterprises and the welfare of workers / laborers. Therefore, wages need to be managed through good management as an integral part in the company, so effective in minimizing the problem of minimum wage fixing. To strengthen the system of remuneration in setting wages with social justice which recommended Wage Council, it is necessary to analyze the following:
1.      Establish Communication System Wage Council[11]
     In order duties and functions of the Provincial Wage Council and District / City are include: Providing advice and consideration in the establishment of a minimum wage; Provide advice and application of the wage system at the provincial or district / city and Preparing materials for the formulation of national wage system development, are still encountered obstacles or problems.
a. Wages Council issues include:
1)      Not yet fully understood by the Provincial Wage Council or District / City about how to survey and determination value The Living Needs corresponding legislation in force, so that the minimum wage setting mechanism is not in accordance with provisions.
2)      Not optimal coordination and synergy between the National Wage Council, Provincial and Regency / City.
3)      Limited submission of recommendations related to the development and application of the wage system.
4)      Lack of budget support for the implementation of the tasks Wage Council.
5)      The governor has not fully considering the recommendation of the Remuneration Council in setting the Minimum wage of province.
b. Efforts Taken
       In order to streamline tasks, especially related to the implementation of the Wage Board remuneration and the national wage system needs to be:
1)      Build networks and communication systems between the National Wage Council, Provincial Wage Council and Remuneration Council District / City of networked communication via website Wage Council.
2)      Carry out studies of remuneration in accordance with the characteristics of each area. Governor / Regent / Mayor and relevant agencies to encourage all companies to apply the structure and scale of wages by making circular.
3)      Allocate budget Wage Council on the budget.
4)      To disseminate the laws and regulations on labor remuneration in general and especially among local government officials.
c. Steps In Building Systems Networking / Communications Wage Council:
1)  Increasing the capacity of Provincial Wage Council members and District / City via:
a)      Training, workshops and technical guidance and the Regional Centre organized through deconcentration funds.
b)      Assistance by the National Wages Council on Regional Wage Board and district / city budgeted by the state budget.
2) Strengthening consultation and coordination to synergize the Wage Council:
a)      Consolidation Forum Wages Council regional level and national level.
b)      Forum Consolidation of the National Wage Council levels.
c)      Strengthening coordination and communication between the National Wage Council, Provincial and Regency / City.
d)     Briefing members of the Board of Provincial Wage and Wage Council District / City.
3) Making technical guidelines (guidelines) and implementation guidelines (guidelines) procedures for the implementation of the tasks and functions of the Remuneration Council.
2. Implementation Instruments The Fair Wages[12]
      In order to realize the application of equitable remuneration and competitiveness, there are 3 (three) instruments that can be done for the stakeholders (stakeholders) include:
a.       Framework application structure and scale of wages in the company.
b.      Studies wage increase more competitive and equitable.
c.       Strategy periodic review of wages.
The explanation in brief we submit the following:
1.       Implementation Framework Structure And The Wage Scale Company
a.       Basis of remuneration are: Balance; Equality; Continuity.
b.      Type the structure and scale of wages in the enterprise: Structure and modest wage scale; The structure and scale of wages advance.
c.       Basic modest wage scale include: Years of service; Person (attitude); Position (positions); Performance (performance).
d.      Efforts made to popularize the structure and scale of wages include: Guidance by the Agency in the field of employment; Training and development; Instituted in industrial relations means such as: Standard operating procedure; Bipartite forum; A tripartite body; Company regulations; Collective labor agreement. Law enforcement (reward and punishment).
2.  Basics Study of Improved Wages a More Competitive and Fair
a.       There must be an effort to realize a competitive wage and justice through not solely on a review of basic salary, but it can be pursued through bonuses, incentives and other benefits.
b.      For foreign investors into Indonesia, payroll is not only based on the minimum wage, but it must be more than minimum wage.
c.       Standards and professional certification.
3.  Periodic review of strategies Wages
a.   A review of the structure and scale of wages periodically conducted by business groups to consider: Productivity; periodization of the review; the competitiveness of companies in the business groups concerned; salary survey.
b. Making a means of industrial relations.
3. Government Policy in Macro Economy Improvement[13]
       Based on the presentation and briefing the Minister of Manpower and Transmigration, it is understood some subjects, namely:
1. Highlights
 The increase in minimum wage does not automatically increase the purchasing power of workers. It is caused by uncontrolled inflation, The absence of standardized survey mechanism of Living Needs, calculation methods regression and projections in the current year has not been uniform and the absence of an exhaustive review of the Living Needs components.
          Therefore it is recommended that: Teams need to streamline the control of inflation, Mechanisms need to be implemented standardized survey of Living Needs, necessary to unify the method of calculation of regression and projection of Living Needs in the current year, and necessary to study in depth the addition of Living Needs components.
2. Highlights
       With the entry into force of the ASEAN Economic Community in 2015, the need for more intense cooperation between the government, employers and workers to improve the competitiveness of human resources, through: Improving the competence of workers / laborers who facilitated local government and the business world (company);  Increased competence involving training institutions; Their professional certification.
3. Highlights
 The role of local government related to the protection of wages: Setting wages and suspension in accordance with the provisions of,  Increase the number and improve the capacity of personnel in the field of supervision and dispute resolution, Wage Council strengthens the region through the increased budget allocation and affirmation of tasks and functions of regional wage board members, In order for wage policy gradually disseminated throughout the province and district / city, Preparation of the Roadmap to the achievement of the Living Needs.





III. CONCLUSIONS AND SUGGESTIONS
       Wage Council is a non-structural organization entrusted by legislation to provide advice, judgment, and formulate a wage policy which will be determined by the government, as well as for the development of the wage system. Regional Wage Council implementing its duty to provide policy recommendations to the heads of regional wage system. Regional Wage Council is a kind of productive groups, because it is in this group of people are gathered a number of similarities oriented wage policy objectives, namely the establishment of social justice, compact and shaded by the value of a clear and binding behavior contained and arranged in order. To be able to keep the conduciveness and ensure the implementation of a wage that has been agreed in the employment agreement, the government as a holder of public policy based on Wages Council intervene in drafting and enforcing an ideal wage system so that social justice for all Indonesian people in the five precepts of The Indonesian Ideology, Which is Pancasila,  can be accomplished well. Social justice created in the wage system to encourage the creation of a welfare state.
       To increase the effectiveness of the task Wages Council as a group / team in order to establish a system of good and fair wage needs be done:
1.      Increasing the capacity of members of the Provincial Wage Council, District / City through training, workshops or integrated technical guidance and mentoring by the National Wages Council.
2.      Strengthening consultation and coordination fatherly synergies through consolidation forum Wages Council Wage Council regional level, forum Wages Council consolidated the national level and strengthening the coordination of communications between the National Wage Council, Provincial and Regency / City.
3.      Optimizing the execution of tasks Wage Council to undertake the following strategies:
a. Build communication systems or networks Wage Council, for example, by conducting meetings between the National Wage Council, Provincial and District / City.
b. Conducting a study according to the characteristics of each region.
c. National Wage Council, Provincial Wage Council, Wage Council District / City makes research paper on the impact of minimum wage on employment growth.
d. Regional Wage Board budget allocation in the budget needs to be increased.
       Regional Wage Council as an organization are appropriately in deciding a policy based on an agreement between the members of the group which is describing a teamwork, so aim to be able to spawn a system of remuneration policy recommendations forwarded to the head of the region, can make a positive contribution to all elements of society, The workers, employers and the government itself is of course image. Work productivity to be increased by promoting teamwork, in order to function in the form of Regional Wage Council be effective.





LIST OF REFERENCE
Anton J Supit (2014), Application Papers “The Fair Wage System (Perspective Employers' Association)”, presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya, Jakarta.
Esping-Andersen (2006) Darmawan Triwibowo dan Sugeng Bahagijo,  Mimpi Negara Kesejahteraan, Jakarta, LP3ES.

Juniarso Ridwan & Achmad Sodik Sudrajat , (2010), Hukum Administrasi Negara dan Kebijakan Publik, Bandung, Nuansa.
R.Irianto Simbolon, (2014), paper "Building Communication System Wage Council (National, Provincial and District / City)", presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya, Jakarta.
The Ministry of Education and Culture (2013), Dictates Training Prajabatan group 3, Building Teamwork, the fourth edition of the first printing, the Ministry of Education and Culture, Central Jakarta.
Association of Regulatory Affairs Directorate general of Industrial Dispute Wage and Social Security,(2014), Ministry of Manpower of Republic Indonesia.
Law  Decree of The Republic of Indonesia Number 13 of 2003 on Manpower.
Instruction President of the Republic of Indonesia Number 9 of 2013 On Establishment of Minimum Wage Policy in the Context of Business Continuity And Improvement Workers Welfare.
Decree of the President of the Republic of Indonesia Number 107 of 2004 on Wage Council.
Labor Minister Instruction No. 7 of  2013 on Minimum Wage.
Recommendation Group 1, 2 and 3 in the Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya Jakarta.
http://www.kapukonline.com/2012/02/kebutuhandasarmanusiaabrahammaslow.html. Sunday, 14/09/2014. 16:22 PM.


[1] Anton J Supit as vice chairman of the national wage employers element , Papers " The Fair Wage System Implementation ( Perspective Employers' Association ) " , presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya , Jakarta , on September 8 , 2014.

[2] R.Irianto Simbolon , paper "Building Communication System Wage Council (National , Provincial and District / City ) " , presented at the Forum Consolidation of National Wage Council at Grand Sahid Jaya , Jakarta , on September 7 , 2014.

[3] Training Prajabatan group 3 , Build Team research agreement , the fourth edition of the first printing, the Ministry of Education and Culture , Depok , 2013 , p. 1 

[4] Ibid . p. 12 .

[5]  Ibid. p. 13
[6] Article 1 paragraph 1 manpower and transmigration minister Regulations No. 7 of 2013 About Minimum Wage

[7] Article 4 manpower and transmigration minister Regulations No. 7 of 2013 About Minimum Wage


[8] Association of Regulatory Affairs Directorate general of  Industrial Dispute of Wage and Social Security, 2014.

[9] http://www.kapukonline.com/2012/02/kebutuhandasarmanusiaabrahammaslow.html. Sunday, 14/09/2014. 16:22 hrs.

[10] Training Prajabatan group 3 , Build Team research agreement , Op.cit . p. 26.

[11] Recommendation Group 1 Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya Jakarta.

[12]Recommendations Group 2 in the Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya, Jakarta .

[13]Recommendations Group 3 in the Discussion of Consolidated group Forum of National Wage Council conducted on September 7-9 at the Grand Sahid Jaya, Jakarta .