2024 Minimum Wage List for North Sumatra, Medan Highest

The North Sumatra Provincial Government has set the 2024 Kabupaten/Kota Minimum Wage (UMK) for its region.

This is stipulated in Circular Letter Number 500.15.14.1/15696 Year 2023.

The highest 2024 UMK in North Sumatra is in Medan City, at Rp3,769,082.

The lowest figure is in 11 districts/cities, with a nominal value following the 2024 North Sumatra Provincial Minimum Wage (UMP), namely Rp2,809,915.

The following is a complete list of the 2024 UMK in North Sumatra, ordered from highest to lowest:

1. Medan City: Rp3,769,082
2. Deli Serdang Regency: Rp3,505,076
3. Batu Bara Regency: Rp3,451,671
4. Karo Regency: Rp3,358,951
5. Labuhan Batu Regency: Rp3,228,339
6. Sibolga City: Rp3,211,031
7. South Labuhan Batu Regency: Rp3,197,168
8. North Labuhan Batu Regency: Rp3,124,527
9. Serdang Bedagai Regency: Rp3,111,250
10. South Tapanuli Regency: Rp3,105,469
11. Asahan Regency: Rp3,066,580
12. Tanjungbalai City: Rp3,046,579
13. Central Tapanuli Regency: Rp3,044,435
14. Padang Lawas Regency: Rp3,000,855
15. Padang Sidempuan City: Rp2,974,869
16. Toba Regency: Rp2,959,020
17. Langkat Regency: Rp2,943,343
18. Mandailing Natal Regency: Rp2,911,736
19. Simalungun Regency: Rp2,900,330
20. Binjai City: Rp2,887,667
21. North Tapanuli Regency: Rp2,833,474
22. Tebing Tinggi City: Rp2,822,726
23. Dairi Regency: Rp2,809,915
24. South Nias Regency: Rp2,809,915
25. Humbang Hasundutan Regency: Rp2,809,915
26. Samosir Regency: Rp2,809,915
27. North Nias Regency: Rp2,809,915
28. West Nias Regency: Rp2,809,915
29. North Padang Lawas Regency: Rp2,809,915
30. Nias Regency: Rp2,809,915
31. Pakpak Bharat Regency: Rp2,809,915
32. Pematang Siantar City: Rp2,809,915
33. Gunung Sitoli City: Rp2,809,915

Based on Law Number 6 of 2023 concerning Job Creation, the minimum wage applies to workers/laborers with less than 1 year of work experience (Chapter IV Employment Article 88E).

For workers/laborers with 1 year or more of work experience, wages are based on the company's established wage structure and scale (Chapter IV Employment Article 92).

The Law also states that companies are prohibited from paying wages lower than the minimum wage (Chapter IV Employment Article 88E).

Companies that violate this can be subject to criminal penalties of 1-4 years imprisonment, and/or a fine of Rp100 million to Rp400 million (Chapter IV Employment Article 88E).

However, the Law provides an exception for "micro businesses" and "small businesses" (Chapter IV Employment Article 90B).

Thus, micro and small-scale businesses are no longer required to follow the minimum wage regulations.

Based on Government Regulation Number 7 of 2021, the criteria for micro businesses are having a business capital of a maximum of Rp1 billion (excluding land and buildings used for the business), or annual sales of a maximum of Rp2 billion.

The criteria for small businesses are having business capital >Rp1 billion to Rp5 billion (excluding land and buildings used for the business), or annual sales >Rp2 billion to Rp15 billion.