City Raises 2023 Minimum Wage by 5.6 Percent

The Jakarta Manpower, Transmigration, and Energy Agency (Nakertransgi) has announced that the provincial minimum wage (UMP) for 2023 was set by Rp 4,901,798 or rose at 5.6 percent compared to last year, which was Rp 4,641,854.

The raise is based on Jakarta Governor's Decree No. 1153/2022 on UMP for 2023

Jakarta Nakertransgi Head, Andri Yansyah said that the regional head must announce the determination of the 2023 UMP on November 28 following the mandate Manpower Ministerial Regulation (Permenaker) No. 18/2022 on UMP Determination.

"The raise is based on Jakarta Governor's Decree No. 1153/2022 on UMP for 2023," he expressed, Monday (11/28).

Optimistic with Economic Growth in 2022, Jakarta Government Raises UMP 2022 by 5.1 Percent

He explained the raise was based on the meeting of the Wage Council, which was held on November 22, 2022. The entrepreneur element, namely the Chamber of Commerce and Industry (Kadin), submitted a proposal to raise the UMP by 5.11 percent using alpha 0.1 and Apindo using Government Regulation No. 36/2021.

"As for the Jakarta Provincial Government has a team of experts consisting of academics, practitioners, and BPS data who have agreed on a figure of 5.6 percent or alpha 0.2 as stated in Governor Decree No. 1153/2022," he explained.

He added that the Jakarta Government also provided policies to improve welfare including assistance with transportation services, provision of low-priced food, and personal education costs.

"For workers with the criteria for a Jakarta ID Card with a maximum salary of 1.15 times the UMP and not limited by years of service," he stated.