Average Annual Percentage Increase of Indonesia's UMP (Provincial Minimum Wage) 2004-2024

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Adi Ahdiat 02/12/2024 12:27 WIB

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Based on data from BPS (Statistics Indonesia) and Kemnaker (Ministry of Manpower), the highest average national UMP (Minimum Provincial Wage) increase in the last two decades occurred in 2014, at 22%.

Average Annual Percentage Increase of Indonesia's UMP (2004-2024)*

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Average Annual Percentage Increase of Indonesia's UMP (2004-2024)*

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Indonesia's average provincial minimum wage (UMP) has steadily increased each year, although the rate of increase varies.

According to data from the Central Statistics Agency (BPS), in 2004 the national average UMP increased by 10.56% year-on-year (yoy).

Then, during the 2005-2014 period, the annual increase in the national average UMP fluctuated, ranging from a low of 8% (yoy) to a high of 22% (yoy).

Since 2015, the growth rate has tended to level off, reaching a maximum of 13% (yoy).

Over the past two decades, the lowest UMP growth occurred in 2021-2022, with increases ranging only from 0-1% (yoy).

This low UMP growth coincided with the COVID-19 pandemic, which negatively impacted the global economy.

After that, in the 2023-2024 period, the UMP growth rate has tended to strengthen again, although not as high as in previous years, as shown in the graph.

President Prabowo Subianto has now announced a 6.5% increase in the average minimum wage for 2025.

"We have decided to increase the national average minimum wage in 2025 by 6.5 percent," Prabowo said, as reported by Antara on Friday (29/11/2024).

"The sectoral minimum wage will be determined by the Provincial, City, and Regency Wage Councils," he continued.

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Average Annual Percentage Increase of Indonesia's UMP (Provincial Minimum Wage) 2004-2024

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