Minimum Wage 2023 Up 10 Percent, Segini Estimated The Amount In Each Province

Illustration (Photo by Mufid Majnun on Unsplash)

YOGYAKARTA Minister of Manpower (Menaker) Ida Fauziyah issued the Minister of Manpower Regulation (Permenaker) Number 18 of 2023 concerning the Determination of the 2023 Provincial Minimum Wage (UMP). In the regulation, the 2023 UMP rose 10 percent.

Adapting VOI, Permanaker No. 18/2022 was determined by Ida Fauziyah on November 16, 2022 and promulgated on November 17, 2022.

Some of the provisions in it emphasize the adjustment of the minimum wage value for 2023 calculated using the counting formula taking into account the economic growth variables, inflation and certain indexes.

The data used also comes from an authorized institution in the field of statistics.

Meanwhile, Article 7 states that the determination of the minimum wage value adjustment should not exceed 10 percent. In addition, in terms of the calculation of the minimum wage value adjustment exceeding 10 percent, the Governor set the minimum wage with a maximum adjustment of 10 percent.

If economic growth is negative in value, the minimum wage value adjustment only takes inflationary variables into account.

In Permenaker Number 18 of 2023, it is also written that the 2023 Provincial Minimum Wage is determined by the Governor and will be announced no later than November 28, 2022. The governor can also set the 2023 Regency/City Minimum Wage and announced no later than December 7, 2022.

The provincial and district/city Minimum Wages that have been set to take effect on January 1, 2023.

So, what is the estimated UMP in 34 provinces in 2023 if it increases by 10 percent?

The following is a breakdown of the estimated provincial minimum wage in each province if it increases by 10 percent in 2023:

This is information regarding the estimated 2023 UMP, which is up 10 percent in each province.