Jakarta Raises Minimum Wage 2024 by 0.3 Percent or Rp 5,067,381

The Jakarta administration has announced that they have raised the provincial minimum wage (UMP) for 2024 by 0.3 percent or Rp 5,067,381 through Governor's Decree number 818/2023 on UMP 2024.

This raise is in line with the Jakarta administration's commitment

The raise was set based on the Government Regulation number 51/2023 on Amendments to Government Regulation number 36/2021 on Wages.

After the wage was set at City Hall, the Acting Governor Heru Budi Hartono said the UMP 2024 was set after being calculated using a formula according to the regulations, taking into account Jakarta inflation, Jakarta's economic growth and a certain index (α) of 0.3, resulting in a UMP by Rp 5,067,381.

City Raises 2023 Minimum Wage by 5.6 Percent

This wage value applied to workers/laborers with a working period of less than 1 year.

"This raise is in line with the Jakarta administration's commitment to maintaining the purchasing power of workers/laborers and supporting the sustainability of the business world. This alpha of 0.3 is the highest possible based on Government Regulation number 51/2023. With the determined amount, we hope to be able to achieve an acceptable balance positive for all related parties, while supporting the realization of Jakarta as a Global City," he expressed, in the Jakarta administration's press release, Tuesday (11/21).

Besides setting the wage, the Jakarta administration also reminded employers of the obligation to develop the structure and wage scale in the company. This Wage Scale Structure must take into account the company's capabilities and productivity as a guideline for workers/laborers with a service period of 1 year or more.

"We'll carry out supervision and impose sanctions on entrepreneurs who do not comply with these obligations," he asserted.

Aside that, his party also continues to provide policies to maintain the purchasing power of workers/employees, as well as improving workers' welfare from a non-wage perspective.

This policy was given to workers/laborers who have Jakarta Worker Cards who meet certain criteria, namely having a Jakarta KTP with a maximum salary amount worth 1.15 times wages, without being limited by length of service or other criteria in accordance with statutory regulations.

These policies included assistance with transportation services, providing food at low prices, JakGrosir membership, and personal education costs.

Reporter: Folmer