November 20, 2025 | 04:54 pm
TEMPO.CO, Jakarta - Manpower Minister Yassierli announced that Indonesia’s 2026 minimum wage is still being reviewed, with the government preparing a new regulation to govern the increase.
Under Government Regulation No. 36/2021, the annual minimum wage should be announced no later than November 21.
However, Yassierli said the deadline no longer applies because the legal basis is being shifted from a ministerial regulation (Permenaker) to a government regulation (PP).
“So it is not tied to that date. But we want this process to reach a milestone,” Yassierli said at a press conference at the Ministry of Manpower on Thursday, November 20, 2025.
The ministry plans to convene a forum with labor office heads from across the country to discuss next year’s wage decision, though Yassierli did not specify when the final announcement will be made.
He said the government is committed to fully implementing Constitutional Court Decision No. 168/2023. As part of the new approach, the minimum wage will no longer be set as a single figure but as a range.
Provincial, city, and district wage councils will then determine the final wage within that range based on local economic conditions. The ministry hopes this method will help narrow wage disparities between regions.
In line with the Constitutional Court’s mandate, the calculation will also incorporate the standard of decent living. “We have formed a team to formulate and estimate what a decent standard of living should be,” Yassierli said.
Meanwhile, Edy Wuryanto, a member of the House of Representatives’ Commission IX, criticized the government for failing to prepare the legal basis for the 2026 wage increase on time.
He noted that the Ministry of Manpower had not finalized the new regulation by the November 21 deadline required by Government Regulation No. 36/2021.
Edy said the delay affects both workers and businesses. “If the regulations are not prepared, how can regional leaders work according to the mandate? The central government should not be a source of chaos,” the Indonesian Democratic Party of Struggle politician said in a written statement on Thursday.
Adil Al Hasan contributed to the writing of this article.
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