UMP 2026 Rises, Commission IX of the DPR Warns the Government to Maintain People's Purchasing Power

Member of Commission IX of the House of Representatives, Edy Wuryanto, assessed that the increase in the provincial minimum wage or UMP 2026 does not automatically make the community more prosperous. In fact, according to him, the increase in UMP will not have an effect if the prices of basic necessities of the community also increase.

Therefore, Edy reminded the government to continue to control inflation and strengthen subsidies for basic needs so that workers' purchasing power is maintained. Especially the control of inflation in the food, housing, and transportation sectors which are the main needs of workers.

"Wages can go up, but if the price of rice, house rent, and transportation goes up higher, then real wages will actually go down," Edy said in a statement, Friday, December 19.

"Therefore, the government must maintain inflation and strengthen subsidies for basic needs so that the purchasing power of workers is really maintained," continued the PDI Perjuangan politician.

Edy, who sits on the commission for employment, said the 2026 wage increase must also be balanced with support for micro, small, and medium enterprises (MSMEs) and informal sector workers.

The support, said Edy, could be in the form of skill improvement or direct subsidies for basic needs.

The Central Java district legislator emphasized that the state must be present to ensure that people live decently. According to him, workers' welfare should not be solely borne by employers.

"The state must be present through the state budget and the regional budget, especially for workers in the informal and informal sectors, so that wage policies do not widen the gap and actually reduce the poverty rate," said Edy.

Previously, Minister of Manpower Yassierli ensured that there was no rejection from workers regarding the amount of the new Provincial Minimum Wage (UMP) signed by President Prabowo Subianto.

"I don't believe (there is a rejection). I also received a lot of things that appreciate this PP," Yassierli told reporters, Wednesday, December 17.

He explained that the process of drafting this Government Regulation (PP) had gone through a fairly long process involving trade unions, labor unions, from employers, to academic studies.

In addition, he continued, this policy also takes into account the Minimum Living Needs (KHL) so that the formula for wage increases is equal to Inflation + (Economic Growth x Alfa) with a range of Alfa 0.5-0.9.

According to him, for the 2026 wage, President Prabowo Subianto has also increased the alpha range, which was previously set at 0.1 to 0.3, to 0.5 to 0.9. For information, alpha is the contribution of labor to economic growth.

"You can imagine 0.1 to 0.3. Yes, now 0.5 to 0.9. This is an extraordinary policy from Mr. President," continued Yassierli.