Indonesian provinces have successively finalized the 2026 Provincial Minimum Wage Standards (UMP), serving as the minimum reference basis for salary calculations between companies and employees. As of December 25, 2025, 36 provinces have published specific standards through governor decrees. Among the announced standards, West Java Province has the lowest provincial minimum wage at IDR 2,317,601, a significant gap compared to the highest in Jakarta Special Region (IDR 5,729,876).
The formulation of the 2026 provincial minimum wage standards follows government wage regulations, which require provincial governors to finalize and publish the standards no later than December 24, 2025, with the standards coming into effect on January 1, 2026. The ten provinces with the lowest 2026 provincial minimum wage standards and their specific increases are as follows: Banten Province IDR 3,100,881 (increase of IDR 195,762); West Kalimantan Province IDR 3,054,552 (increase of IDR 176,266); Lampung Province IDR 3,047,734 (increase of IDR 154,665); Bengkulu Province IDR 2,827,250 (increase of IDR 157,211).
West Nusa Tenggara Province IDR 2,673,861 (increase of IDR 70,930); East Nusa Tenggara Province IDR 2,455,898 (increase of IDR 126,929); East Java Province IDR 2,446,880 (increase of IDR 140,896); Yogyakarta Special Region IDR 2,417,495 (increase of IDR 153,415); Central Java Province IDR 2,327,386 (increase of IDR 158,038); West Java Province IDR 2,317,601 (increase of IDR 126,369). As of the standard publication deadline, Aceh Province and Papua Highland Province have not yet finalized their 2026 provincial minimum wage standards.
The Head of the Aceh Provincial Manpower and Immigration Office stated that the delay is due to the local government's focus on emergency response efforts for flash floods and landslides. The standard formulation will be promptly initiated after the emergency response concludes. The 2025 minimum wage standards for these two provinces are IDR 3,685,615 and IDR 4,285,847 respectively. The Provincial Minimum Wage Standard is the monthly minimum salary floor set by provincial regulations for workers with less than one year of service, jointly determined by the tripartite wage committee consisting of government, employer, and union representatives.
The 2026 standard formulation references multiple economic indicators including inflation rate, regional economic growth rate, and the α coefficient, using the calculation formula determined by President Prabowo: Minimum wage increase = (Inflation rate + Economic growth rate) × α coefficient, with the α coefficient ranging from 0.5 to 0.9. This coefficient reflects the contribution of labor to regional economic growth, resulting in variations in wage increases across provinces due to different economic conditions.
Indonesian provinces have successively finalized the 2026 Provincial Minimum Wage Standards (UMP), serving as the minimum reference basis for salary calculations between companies and employees. As of December 25, 2025, 36 provinces have published specific standards through governor decrees. Among the announced standards, West Java Province has the lowest provincial minimum wage at IDR 2,317,601, a significant gap compared to the highest in Jakarta Special Region (IDR 5,729,876).
The formulation of the 2026 provincial minimum wage standards follows government wage regulations, which require provincial governors to finalize and publish the standards no later than December 24, 2025, with the standards coming into effect on January 1, 2026. The ten provinces with the lowest 2026 provincial minimum wage standards and their specific increases are as follows: Banten Province IDR 3,100,881 (increase of IDR 195,762); West Kalimantan Province IDR 3,054,552 (increase of IDR 176,266); Lampung Province IDR 3,047,734 (increase of IDR 154,665); Bengkulu Province IDR 2,827,250 (increase of IDR 157,211).
West Nusa Tenggara Province IDR 2,673,861 (increase of IDR 70,930); East Nusa Tenggara Province IDR 2,455,898 (increase of IDR 126,929); East Java Province IDR 2,446,880 (increase of IDR 140,896); Yogyakarta Special Region IDR 2,417,495 (increase of IDR 153,415); Central Java Province IDR 2,327,386 (increase of IDR 158,038); West Java Province IDR 2,317,601 (increase of IDR 126,369). As of the standard publication deadline, Aceh Province and Papua Highland Province have not yet finalized their 2026 provincial minimum wage standards.
The Head of the Aceh Provincial Manpower and Immigration Office stated that the delay is due to the local government's focus on emergency response efforts for flash floods and landslides. The standard formulation will be promptly initiated after the emergency response concludes. The 2025 minimum wage standards for these two provinces are IDR 3,685,615 and IDR 4,285,847 respectively. The Provincial Minimum Wage Standard is the monthly minimum salary floor set by provincial regulations for workers with less than one year of service, jointly determined by the tripartite wage committee consisting of government, employer, and union representatives.
The 2026 standard formulation references multiple economic indicators including inflation rate, regional economic growth rate, and the α coefficient, using the calculation formula determined by President Prabowo: Minimum wage increase = (Inflation rate + Economic growth rate) × α coefficient, with the α coefficient ranging from 0.5 to 0.9. This coefficient reflects the contribution of labor to regional economic growth, resulting in variations in wage increases across provinces due to different economic conditions.