Thousands of Workers to Protest in Jakarta for Higher Wages

by Rachel Morgan News Editor

Labor groups in Indonesia are planning further protests to demand adjustments to the 2026 Provincial Minimum Wage (UMP), despite a recent increase. Members of the Indonesian Trade Union Confederation (KSPI) intend to rally at the Jakarta Presidential Palace and the House of Representatives on January 8, 2026, joining workers from Jakarta and West Java.

Wage Discrepancies Fuel Protests

The planned demonstration is a continuation of demands for a higher UMP in Jakarta, which currently stands at Rp5,729,876 – a 6.17 percent increase from 2025. However, labor organizations are seeking a UMP of Rp5,898,511, citing figures from the Central Statistics Agency (BPS) regarding the ideal Cost of Living (KHL). Protesters are also advocating for wages to align with recommendations from local mayors and regents, rather than rates set by West Java Governor Dedi Mulyadi.

Did You Know? Government Regulation No. 49 of 2025, which governs wage calculations, is expected to remain valid for 10 to 15 years.

Workers from cities including Cirebon, Subang, Purwakarta, Karawang, and Bekasi plan to travel to Jakarta by motorcycle, a method chosen for its cost-effectiveness. Labor Party President Said Iqbal emphasized the importance of a wage increase to improve living standards for Jakarta workers, whose current minimum wage is lower than in Bekasi and Karawang.

Economic Concerns Drive Demands

Beyond living standards, labor groups believe a wage increase is crucial for boosting purchasing power in Jakarta and bridging the gap between income and the actual cost of living, estimated at Rp15 million per month. Previous attempts to reach the Presidential Palace with these demands, including a rally on December 29, 2025, were met with police barriers near the BSI Tower and the Horse Statue in Central Jakarta.

Expert Insight: The ongoing dispute highlights the complex balancing act between labor demands, regional economic conditions, and government regulations. The reliance on an “alpha” coefficient within Government Regulation No. 49 of 2025 introduces a degree of flexibility – and potential contention – in determining wage increases.

The Jakarta UMP was determined using an alpha index of 0.75, resulting in an increase of Rp333,115 from the previous amount of Rp5,396,761, according to Jakarta Governor Pramono Anung. West Java Governor Dedi Mulyadi announced UMP and UMSP rates of Rp2,317,601 and Rp2,339,995 respectively, stating that sectoral wages must adhere to government rules.

Frequently Asked Questions

What is the current minimum wage in Jakarta?

The 2026 UMP in Jakarta is currently set at Rp5,729,876.

What are the labor groups demanding?

Labor organizations are demanding that the Jakarta UMP be raised to Rp5,898,511, aligning it with the ideal Cost of Living (KHL) data from the Central Statistics Agency (BPS).

How are workers planning to travel to Jakarta for the protest?

Workers from several cities plan to travel to Jakarta by motorcycle due to its cost-effectiveness.

Given the planned protests and ongoing negotiations, will Jakarta and West Java authorities seek further dialogue with labor representatives to address wage concerns?

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