Jakarta, hitclubapk3 Indonesia
—
Minister of Manpower (Menaker)
Yassierli
openly about the contents of the relevant Government Regulations (PP).
Remuneration
which was just signed by the President
Prabowo Subianto
on Tuesday (16/12).
”
Thank God
“The PP on Wages has been signed by President Prabowo Subianto today, Tuesday, December 16 2025,” said Yassierli in a written statement.
The latest regulation regulates a new wage formula that will be used as a basis for determining the 2026 provincial minimum wage (UMP).
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In this case, Prabowo decided on a wage increase formula of Inflation + (Economic Growth x Alpha) with an Alpha coefficient range of 0.5-0.9.
“Of course, the President’s policy is a form of commitment to implementing MK decision Number 168/2023,” said Yassierli.
The calculation of the 2026 minimum wage increase will be carried out by the Regional Wage Council to be submitted as a recommendation to the Governor.
Apart from the issue of the UMP formula, the PP on Wages also regulates that the governor is obliged to determine the UMP and Regency/City Minimum Wage (UMK)
The regulation also stipulates that governors are required to determine the Provincial Sectoral Minimum Wage (UMSP) and can also determine Regency/City Sectoral Minimum Wages (UMSK).
“Specifically for 2026, the Governor will determine the amount of wage increases no later than December 24 2025,” he said.
Yassierli said that the drafting of the PP on Wages had gone through quite a long study and discussion.Apart from that, the government also pays attention to input and aspirations from various parties, especially from Workers’ Unions.
The government released a new PP on Wages following the cancellation of PP Number 51 of 2023 concerning Amendments to Government Regulation Number 36 of 2021 concerning Wages.
PP51/2023 is no longer valid because it was canceled by the Constitutional Court (MK) Decision Number 168/PUU-XXII/2024 regarding the judicial review of the Job Creation Law (UU).
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