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Jakarta Post

Jakarta sets 2018 minimum wage at Rp 3.6 million

  • News Desk

    The Jakarta Post

Jakarta   /   Wed, November 1, 2017   /   08:30 pm
Jakarta sets 2018 minimum wage at Rp 3.6 million Workers stage a rally during International Labor Day at the Bank Indonesia traffic circle in Central Jakarta in May. (Antara/Sigid Kurniawan)

The city administration reached a decision on Wednesday to set the provincial minimum wage at Rp 3.6 million (US$265).

The figure is 8 percent higher than last year’s minimum wage of Rp 3.3 million.

“Workers will enjoy the raise, while businessmen will not bear a heavy burden given recent sluggish economic conditions,” Jakarta Governor Anies Baswedan said on Wednesday.

Labor unions previously demanded a minimum wage of Rp 3.9 million based on calculations that took into account the basic cost of living (KHL), while businesses asked for Rp 3.6 million.

“We hope all parties can accept this, and we believe that amid sluggish economy growth, [the new minimum wage] can help both workers and businessmen keep the wheels of economy moving,” Anies added. (vny/wnd)