The business world supports the use of the wage formula as stipulated in Government Regulation (PP) 36/2021 in conjunction with PP 51/2023 on Wages, which has been strengthened by the Constitutional Court Decision Number 168/PUU-XXI/2023.
The Provincial Minimum Wage for 2026 will soon be set by the government at the end of this month. The minimum wage will be decided by considering the aspirations of workers, labor unions, employers, and the wage board.
The average labor wage in August 2025 was IDR 3.33 million per month, up 1.94% compared to the same period in 2024. There are nine business fields where wages are higher than the national average.
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