Factory Regret Moving West Java, Entrepreneurs Answer This

Jakarta, CNBC Indonesia – West Java Governor Ridwan Kamil said that West Java has advantages in terms of human resource productivity to facilities and infrastructure. So he claims, if companies or factories that have moved from West Java because of high wages, they now regret it.

Secretary General of the Association of Fiber and Filament Yarn Producers (Apsyfi) Redma Gita Wiraswasta acknowledged that the factory move from Heavy Java to Central Java had various impacts. One of them is the problem of productivity of workers in the new place. Workers who have worked in West Java factories have more abilities because they are used to them and their long-trained skills.

“Because in West Java they have been trained, garment workers are already 5 to 10 years old, so they can work quickly. If there (Central Java) new workers need adaptation, surely productivity will not be the same here (West Java). management and the system (good) but still the name experience cannot be the same as in West Java, “said Redma to CNBC Indonesia, Friday (23/10).

In order to increase productivity for workers, experience is needed. Thus, workers who are just starting work need to be given time to increase this productivity. Likewise with entrepreneurs, related to regret or not depends on how the calculations are made.

“But in the end it just counts, if the productivity is 10, for example, the wage level is 9, if it decreases, for example, the productivity of 8 wages is 6 or 7, just counting them,” said Redma.

Ridwan Kamil highlighted the phenomenon of moving factories from West Java. He admitted that a number of factories that had moved to other provinces on the basis of low wages, admitted they were sorry. This is because productivity in these other provinces is lower than West Java.

“(Factories) that have moved to other provinces are also sorry. Wages may be cheap but productivity is low,” said Kang Emil, Ridwan Kamil’s nickname in the discussion on Breakthroughs for Regional Heads in the Middle of a Pandemic and CNBC Indonesia Indonesia Award Best Regional Leaders, Friday (23/10/2020).

He explained West Java is one of the best provinces in real sector investment activities. This is because West Java’s infrastructure is the most complete and human resources have high productivity.

This infrastructure will be added to the Patimban Port, which is planned to be inaugurated by President Joko Widodo in the near future for phase one. Kang Emil hopes that Patimban Port can immediately start exporting after the inauguration.

“The cost in Indonesia is calculated to be expensive because the cost from the factory to Tanjung Priok is more expensive than from Tanjung Priok to Shanghai,” he explained.

[Gambas:Video CNBC]

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