If Fuel Prices Raised Labor Wages Increase

Jakarta (Antara) - Chairman of the Indonesian Businessmen Association (Apindo) Sofyan Wanandi said if the government raises the prices of subsidized fuels labor wages must increase accordingly in 2014. "If the government insists on raising the prices of subsidized fuels, workers can demand wage hike in 2014," he said after attending an investment dialog forum here on Monday. He said if the prices of subsidized fuels are raised soon businessmen will no doubt think of steps to solve demand for wage hike. "We will also think of how to assist them particularly with regard to transportation costs," he said. The imminent fuel price hike will directly affect the transportation sector, he said. As a businessman, Sofyan said he has no other choice but to assist the workers so that they will not lead a more difficult life than in the previous years. He said the planned fuel price hike will have no significant impact on the industrial sector because industries have used global prices. "There is no need for workers to hold a large-scale rally, except if they want to become politicians," he said. The government looks set to raise the price of subsidized gasoline to Rp6,500 from Rp4,500 a liter and the price of subsidized diesel oil to RpRp5,500 from Rp4,500 a liter. Some 10 million workers across the country have threatened to go on strike on August 16, 2013 if the government and the House of Representatives insist on raising the prices of subsidized fuels. (*)