The Jakarta Provincial Government (Pemprov DKI Jakarta) has set the 2024 Provincial Minimum Wage (UMP) at Rp5,067,381.
This is a 3.38% increase, or Rp165,583 more than the 2023 UMP.
The Acting Governor of DKI Jakarta, Heru Budi Hartono, established this increase through Governor's Decree (Kepgub) Number 818 of 2023 concerning the 2024 Provincial Minimum Wage.
According to Heru, the UMP amount was determined based on the formula stipulated in Government Regulation (PP) Number 51 of 2023 concerning Amendments to Government Regulation Number 36 of 2021 concerning Wages.
"The DKI Jakarta Provincial Government set the highest alpha (index number for calculating UMP), namely alpha 0.3, as per PP Number 51 of 2023. The DKI Jakarta Provincial Government cannot exceed the provisions of the PP," said Heru, as reported by Antara on Tuesday (21/11/2023).
Heru also stated that the determination of the 2024 DKI Jakarta UMP considered the inflation and economic growth of the capital city.
In addition to setting the UMP, the DKI Jakarta Provincial Government reminded employers of their obligation to formulate wage structures and scales within their companies, as a guideline for workers with one year or more of service.
"The DKI Jakarta Provincial Government will conduct supervision and impose sanctions on employers who fail to comply with this obligation," said Heru.
Heru said that the DKI Jakarta Provincial Government also continues to provide policies to maintain the purchasing power and welfare of workers through non-wage benefits.
This policy is in the form of the Jakarta Worker Card (KPJ), provided to workers who meet specific criteria: possessing a DKI Jakarta Provincial Identity Card (KTP) and having a maximum salary of 1.15 times the UMP, without limitations on work tenure or other criteria.
KPJ holders can benefit from transportation assistance, subsidized food access, JakGrosir membership, and child education assistance.