Mengapa UMR di Yogyakarta Murah?

Summary

This video script explores the challenges faced by Yogyakarta (Jogja), a city celebrated for its historical significance, cultural richness, and relatively low cost of living. Despite its charm, the city struggles with low minimum wages, which many justify by the perceived affordability of living there. However, the script argues that the cost of living is not as low as it seems, with rising housing and essential goods prices. It highlights the disparity between Jogja and other regions like Jakarta in terms of income and living expenses, discussing the implications for workers, the local economy, and potential solutions to improve the situation.

Takeaways

• 😀 Yogyakarta (Jogja) is a popular and historical city in Indonesia, but it faces significant economic challenges, particularly with its low minimum wage (UMR).
• 😀 While living costs in Jogja (food, transportation) are lower than in Jakarta, other costs like housing and basic goods are comparable to bigger cities.
• 😀 Many people believe Jogja’s low UMR is justified by the perception of a low cost of living, but this is an oversimplification.
• 😀 The low UMR in Jogja (around 2.1 million IDR in 2018) contrasts with the higher costs of living, particularly in housing, which ranks as the third most expensive in Indonesia.
• 😀 Despite cheap meals and transport, goods such as cigarettes, cars, and electronics are similarly priced in Jogja as in Jakarta, undermining the 'cheap' living perception.
• 😀 The low wages create a barrier for workers in Jogja, making it difficult to save or own property, even with mortgage schemes.
• 😀 Many residents of Jogja work in agriculture or low-wage sectors, struggling to meet basic needs while keeping costs down by growing their own food.
• 😀 Jogja’s economic stagnation is exacerbated by a lack of investment and business opportunities, partly due to high land prices, limited industries, and strict local regulations.
• 😀 Compared to other regions in Indonesia, such as Semarang, Jogja struggles to attract investors due to a less favorable business climate and lower wage levels.
• 😀 The current UMR system, based on a national formula, fails to address the unique economic realities in Jogja, resulting in minimal wage increases that do not keep pace with the cost of living.

Q & A

What is the main issue discussed in the video?

The video discusses the low minimum wage (UMR) in Yogyakarta, Indonesia, and how it affects the local economy, workers, and their quality of life.

Why is Yogyakarta considered an attractive city despite its low UMR?

Yogyakarta is attractive due to its historical significance, cultural richness, and relatively low cost of living, especially in terms of food and transportation. However, this perception is challenged by the reality of rising living costs and high property prices.

How does the low UMR in Yogyakarta impact workers?

The low UMR limits workers' ability to afford housing, especially as property prices in the city are among the highest in Indonesia. It also affects their overall purchasing power and the possibility of saving for the future.

What is the argument about the so-called 'cheap cost of living' in Yogyakarta?

While many perceive the cost of living in Yogyakarta as cheap, particularly for food and transportation, the video argues that this view is misleading because other essential costs like housing, utilities, and consumer goods are just as expensive as in larger cities like Jakarta.

What are some of the factors contributing to the low UMR in Yogyakarta?

The low UMR is influenced by several factors including the region's reliance on agriculture, the limited industrial presence, and regulations from the local monarchy that make it less attractive to investors and businesses.

Why do some people believe that the low UMR is beneficial for attracting investors?

Some believe that the low UMR in Yogyakarta can attract businesses by offering lower labor costs. However, the video suggests this strategy has not been successful in drawing significant investments, with companies preferring other regions with higher wages and better infrastructure.

How do residents of Yogyakarta, particularly in rural areas, adapt to the low UMR?

Residents, especially those in rural areas like Kulon Progo, adapt by growing their own food and managing household costs through self-sufficiency. This reduces their reliance on external markets and helps them survive on lower incomes.

What is the relationship between land availability and the low UMR in Yogyakarta?

The high cost of land and limited availability of space for development contribute to the low UMR, as businesses struggle to find affordable locations for investment. This, in turn, restricts economic growth and job opportunities.

What potential solution does the video suggest for addressing the low UMR issue?

The video suggests that the government must take a more active role in addressing the issue, possibly through a more comprehensive approach that considers both local economic realities and workers' needs for fair wages and opportunities.

How does the situation in Yogyakarta compare to other Indonesian cities like Jakarta and Semarang?

Compared to Jakarta, Yogyakarta has a much lower UMR, even though the cost of living in Yogyakarta is only slightly cheaper. Semarang, with similar living conditions, has a higher UMR, which highlights the disparity in wage standards across different regions.