President Prabowo Announces National Minimum Wage 2025 Up 6.5 Percent

President Prabowo Subianto announced an increase in the 2025 national minimum wage by 6.5 percent at the Presidential office, the Presidential Palace complex, Jakarta, Friday (29/11/2024). (ANTARA/Andi Firdaus)

JAKARTA - President Prabowo Subianto announced an increase in the national minimum wage average by 6.5 percent for 2025, based on the results of decisions through limited meetings with related parties.

"We have made a decision to increase the average national minimum wage by 2025 by 6.5 percent," said the President in his announcement at the Presidential office, the Presidential Palace complex, Jakarta, as reported by ANTARA, Friday, November 29.

The President said the increase was slightly higher than the proposal of the Minister of Manpower, Yassierli, who previously recommended an increase of 6 percent.

The decision was taken after a limited meeting discussing the minimum wage as a social safety net for workers, especially those who worked less than 12 months.

The President explained that the final decision was taken after going through in-depth discussions, including with labor leaders.

The President also emphasized that this determination aims to increase the purchasing power of workers while maintaining business competitiveness.

Meanwhile, the sectoral minimum wage will be determined by the Wage Council at the Provincial, City and Regency levels.

"The sectoral minimum wage will be set by the Provincial, City and Regency Wage Council," said the President.

The President added that further provisions regarding the determination of this minimum wage will be regulated through the Regulation of the Minister of Manpower.