Jakarta Manpower Agency: Jakarta's UMP Increased to Rp4.9 Million in 2023

The Head of the Jakarta Provincial Manpower, Transmigration, and Energy Agency (Disnakertransgi), Andri Yansah, announced that the 2023 Jakarta Provincial Minimum Wage (UMP) will increase to Rp4.9 million.

"It's certain that the DKI Provincial UMP will increase by 5.6 percent," Andri said, as quoted by Antara on Monday (28/11/2022).

According to Andri, the 2023 UMP increase was determined after the DKI Provincial Government considered proposals from the Indonesian Employers Association (Apindo) DKI Jakarta and the Jakarta Chamber of Commerce and Industry (Kadin) DKI Jakarta during the Wage Council Session on Tuesday (22/11/2022).

Andri mentioned that Kadin DKI proposed a 5.11% increase in the 2023 UMP using alpha 0.1, while Apindo DKI proposed using the formula in Government Regulation (PP) Number 36 of 2021 concerning Wages.

Meanwhile, the DKI Provincial Government in the session consisted of various elements, including experts, academics, practitioners, and the Central Statistics Agency (BPS).

"These elements conducted studies and surveys, resulting in the 5.6% figure or alpha 0.2," Andri said.

Andri stated that the capital city's UMP is in accordance with the formula in Minister of Manpower Regulation Number 18 of 2022 concerning the Determination of the 2023 UMP.

According to Andri, the 2023 UMP is calculated using the 2022 UMP as a reference, which is Rp4.6 million, or in accordance with Governor's Decree (Kepgub) Number 1517 of 2021 signed by Anies Baswedan.

However, in mid-November 2022, the Jakarta High Administrative Court (PTTUN) revoked Kepgub Number 1517 of 2021, meaning the 2022 DKI UMP reverted to Rp4.5 million.

Andri also mentioned that the DKI Provincial Government is finalizing the Governor's Decree letter regarding this matter, which will be signed by the Acting Governor of DKI Jakarta, Heru Budi Hartono.