Jakarta. Jakarta Governor Pramono Anung said on Wednesday that the provincial government will announce the capital’s minimum wage ahead of the December 24 deadline set by the central government, while confirming that wages will rise next year.

“The decision on Jakarta’s minimum wage will be finalized earlier,” Pramono said at City Hall. “There will definitely be an increase. It just needs to be adjusted to inflation, economic growth, and other factors.”

He stressed that the Jakarta administration is committed to maintaining fairness in the wage-setting process for both workers and employers.

“The Jakarta government will act as a fair arbiter for labor and business. I have instructed that meetings be held immediately — we must not be late,” he said.

Pramono added that the newly issued government regulation on provincial minimum wages provides a clear formula and a rational range for wage increases, leaving room for authorities to strike the best balance between labor interests and business sustainability.

Under the new regulation signed by President Prabowo Subianto, Indonesia’s minimum wage is expected to rise by around 5%–7% next year, paving the way for higher provincial minimum wages in 2026.

While final outcomes will vary by province, Jakarta illustrates how the new framework could work in practice. With the capital’s current minimum wage at about Rp 5.4 million ($323) per month, inflation at 2.4%, and economic growth at 4.96%, the formula implies an increase of roughly 5% to 7%. That would lift Jakarta’s 2026 minimum wage to an estimated Rp 5.68\6 million to Rp 5.77 million per month.

Read More: Indonesia’s Minimum Wage Is Set to Increase by 5%–7% Under New Rules

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