The Indonesia central government has issued a memorandum on 26 October 2020 to suggest that there is no increase in wages for 2021 (scroll down to see the minimum salaries). The memorandum says:

“In consideration of the condition of the Indonesian economy during the Covid-19 pandemic and the need for national economic recovery, the Governors are asked to set the value of the 2021 Minimum Wage at the same level of the 2020 Minimum Wage.”

Surat Edaran Nomor M/11/HK.04/2020

Bali and 28 other provinces have confirmed that they will follow the advice and keep the minimum salary in 2021 the same as it was in 2020. 5 other provinces have chosen to increase the minimum salary in their province (more info below).

The minimum salaries in Indonesia are called the UMP Indonesia and the UMK Bali.

Continue here to learn about the hefty penalties for employers who pay less than the legally required minimum wage.

UMP stands for “Upah Minimum Provinsi” or Provincial Minimum Wage. Indonesia has 34 provinces. A province is the highest level of the local government divisions in Indonesia. Each province sets their own UMP or minimum wage.

UMK Bali

Bali | nine regencies

UMK stands for “Upah Minimum Kabupaten/Kota” or Regency/City Minimum Wage. Every province has its own regencies for which Bali has nine.

The UMP and UMK for the year 2020 (and copied into 2021) were calculated by the annual inflation and growth of the economy.

For 2020 the inflation fee was calculated at 3.39% and the growth of the economy at 5.12%. That gave a minimum raise of wages of 8.51% in comparison to 2019. Source: Surat Edaran Menteri Tenaga Kerja Nomor B-M/308/HI.01.00/X/2019 Tahun 2019.

Continue here to see the Indonesia minimum wage (Indonesia UMP) history over the previous years.

Ultimately, the minimum wage of the regencies (Denpasar, Tabanan …) should be higher than the minimum wage of the province (Bali).

The minimum wage is based on 40 hours of work per week and can either be;

  • 7 hours per day and 40 hours per week for 6 days of work per week.
  • 8 hours per day and 40 hours per week for 5 days of work per week.

Source; Law 13/2003 article 77 paragraph (2)

Continue here to find out what the Indonesian Law requirements are for sick leave or paid holiday when an employee’s son gets circumcised.

UMP Indonesia 2021 – Provincial Minimum Wage.

Below are the 2021 minimum monthly wages for the 34 provinces in Indonesia. 29 Provinces have not increased the minimum wage (as per suggestion from the central government). 5 Provinces have made an increase (marked by * below).

Provinces in IndonesiaMinimum salary 2021
1. BaliRp 2,494,000
2. Jakarta *Rp 4,416,186
3. AcehRp 3,165,030
4. BantenRp 2,460,968
5. Banka BelitungRp 3,230,022
6. BengkuluRp 2,213,604
7. West Nusa Tenggara (NTB)Rp 2,183,883
8. JambiRp 2,630,161
9. North KalimantanRp 3,000,803
10. East KalimantanRp 2,981,378
11. South KalimantanRp 2,877,449
12. West KalimantanRp 2,399,699
13. Central KalimantanRp 2,890,093
14. North SumatraRp 2,499,422
15. South SumatraRp 3,043,111
16. West SumatraRp 2,484,041
17. North SulawesiRp 3,310,723
18. South Sulawesi *Rp 3,165,876
19. South East SulawesiRp 2,552,014
20. West SulawesiRp 2,571,328
21. Central SulawesiRp 2,303,711
22. GorontaloRp 2,586,900
23. MalukuRp 2,604,960
24. North MalukuRp 2,721,530
25. LampungRp 2,431,324
26. PapuaRp 3,516,700
27. RiauRp 2,888,563
28. Riau Islands ProvinceRp 3,005,383
29. East Nusa Tenggara (NTT)Rp 1,945,902
30. West PapuaRp 3,184,225
31. East Java *Rp 1,868,777
32. Central Java *Rp 1,798,979
33. West JavaRp 1,810,351
34. Yogyakarta *Rp 1,765,000
Minimum Wages Indonesia Provinces 2021

UMK Bali 2021 – Regency/City Minimum Wage

The 2020 and 2021 minimum wage for Bali as a province is Rp 2,494,000 (UMP Bali) which was a raise of 8.51% from the Bali UMP in 2019 at Rp 2,297,968.

The nine regencies of Bali each have their own minimum wage (the UMK Bali). The minimum wage of each Bali regency cannot be lower than that of the Bali provincial minimum wage.

These are the Bali minimum wages for 2021;

Regency in BaliMinimum salary 2021
DenpasarRp 2,770,300
BadungRp 2,930,092
GianyarRp 2,627,000
TabananRp 2,625,217
JembranaRp 2,557,102
BulelengRp 2,538,000
KlungkungRp 2,538,000
KarangasemRp 2,555,469
BangliRp 2,494,810
Minimum Wages Bali Regencies 2021

Below is the official document from the local Bali Government confirming the 2021 minimum salaries per regency.

Bali minimum wages 2021
Official release confirming the 2021 minimum salary in Bali to be the same as 2020.

Sources: Upah Minimum Kabupaten Kota Bali UMK Bali 2020, Undang-Undang Republik Indonesia Nomor 13 Tahun 2003 Tentang Ketenagakerjaan,  Peraturan Pemerintah Republik Indonesia Nomor 78 Tahun 2015 Tentang Pengupahan

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