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Jakarta’s minimum wage hike disappoints labourers
The Straits Times
|December 30, 2025
Labourers have voiced their dissatisfaction with Jakarta’s minimum wage increase in 2026, saying it still falls short of meeting living standards amid rising cost of living in the capital.
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Jakarta Governor Pramono Anung announced on Dec 24 that the 2026 provincial minimum wage was set at 5.73 million rupiah (S$$439), 6.17 per cent higher than the 2025 figure, following negotiations with representatives from labourers and employers.
The new wage is effective starting Jan 1, 2026, revising the 2025 minimum wage of 5.39 million rupiah. But one of the biggest labour groups, the Confederation of Indonesian Trade Unions (KSPI), has rejected the new minimum wage for failing to meet the basic cost of living set by the Manpower Ministry, which stands at 5.89 million rupiah.
While Jakarta has the highest basic living expenses in the country, its minimum wage is below that of its neighbouring cities of Bekasi and Karawang in West Java.
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