---
title: "Indonesia Wage Regulation PP 36/2021 and PP 49/2025"
description: "Indonesia's wage regulation PP 36/2021, amended by PP 51/2023 and PP 49/2025: minimum wage rules, wage structures, fines, deductions and legal status."
lang: en
canonical: "https://kariraman.com/en/regulations/government-regulation-36-2021/"
datePublished: "2026-10-08"
dateModified: "2026-10-08"
sources:
  - "https://emedia.dpr.go.id/news/2026/10/07/dpr-sahkan-uu-pelindungan-ketenagakerjaan-dasco-kado-terindah-untuk-buruh"
  - "https://kemnaker.go.id/news/detail/menaker-ungkap-poin-penting-uu-pelindungan-ketenagakerjaan-yang-wajib-diketahui-pekerja"
  - "https://peraturan.go.id/files/pp36-2021bt.pdf"
  - "https://peraturan.go.id/id/pp-no-36-tahun-2021"
  - "https://peraturan.go.id/files/pp-no-51-tahun-2023.pdf"
  - "https://peraturan.go.id/files/pp-no-49-tahun-2025.pdf"
  - "https://s.mkri.id/public/content/persidangan/putusan/putusan_mkri_11215_1730375514.pdf"
---

> Markdown version of https://kariraman.com/en/regulations/government-regulation-36-2021/. Cite that HTML page and its update date.

# PP 36/2021 on Wages, as amended by PP 51/2023 and PP 49/2025: content and legal status

Written by KarirAman editorial team Approved by [Kaiser Khan](https://kariraman.com/en/authors/kaiser-khan/) (editor), 8 October 2026 Updated 8 October 2026

In force

Indonesia's wage regulation PP 36/2021, amended by PP 51/2023 and PP 49/2025: minimum wage rules, wage structures, fines, deductions and legal status.

## Summary

- Government Regulation (PP) 36/2021 on Wages was enacted and promulgated on 2 February 2021 and revoked PP 78/2015.
- It was first amended by PP 51/2023 (10 November 2023) and then by PP 49/2025 (17 December 2025).
- On 8 October 2026 the official peraturan.go.id database listed PP 36/2021 and PP 49/2025 as in force.
- PP 49/2025 sets the index (alpha) in the minimum wage formula between 0.50 and 0.90, chosen by regional wage councils.
- PP 49/2025 added provincial (UMSP) and district (UMSK) sectoral minimum wages.

**Legal status:** the Labour Protection Law was approved by the DPR and the Government on 6 October 2026 but has not been promulgated and its text is not public. Until it takes effect, the rules on this page apply.

[Dewan Perwakilan Rakyat RI (emedia)](https://emedia.dpr.go.id/news/2026/10/07/dpr-sahkan-uu-pelindungan-ketenagakerjaan-dasco-kado-terindah-untuk-buruh) 7 October 2026; [Kementerian Ketenagakerjaan RI](https://kemnaker.go.id/news/detail/menaker-ungkap-poin-penting-uu-pelindungan-ketenagakerjaan-yang-wajib-diketahui-pekerja) 7 October 2026

- **Number:** PP No. 36 Tahun 2021
- **Type:** PP
- **Date:** 2 February 2021

[Official document (PDF)](https://peraturan.go.id/files/pp36-2021bt.pdf) [Official page](https://peraturan.go.id/id/pp-no-36-tahun-2021)

## What does Government Regulation 36/2021 on Wages cover?

Government Regulation (PP) 36/2021 on Wages was enacted and promulgated on 2 February 2021 (State Gazette 2021 No. 46) to implement the Job Creation Law, and it revoked PP 78/2015 (Article 85). It sets wage policy: minimum wages, wage structures and scales, overtime pay, pay when a worker is absent, how wages are paid, items that may be offset against wages such as fines and deductions, and wages as the basis for severance and other rights. PP 36/2021 has been amended twice, by PP 51/2023 and PP 49/2025, and peraturan.go.id listed it as in force on 8 October 2026.

## Which articles matter most to workers?

The articles of PP 36/2021 that workers use most, with their amendments where relevant:

- **THR (religious holiday allowance)** : must be given and paid at least 7 days before the holiday (Article 9); late payment is fined (Article 62). See [THR](https://kariraman.com/en/workers-rights/thr-religious-holiday-allowance/) .
- **Minimum wage** : the lowest monthly wage, which may not be undercut (Article 23), for workers with less than one year of service (Article 24); micro and small businesses are exempt within limits (Article 36).
- **Absence from work** : no work, no pay, except illness, leave and the other reasons in Article 40.
- **Paying wages** : paid to the worker with a detailed payslip (Article 53), in full every period (Article 54), at the agreed time and at least monthly (Article 55).
- **Fines and deductions** : the late-payment fine (Article 61), wage and third-party deductions (Articles 63 and 64), and the combined cap for Article 63 deductions (Article 65). See [unpaid or late wages](https://kariraman.com/en/workers-rights/unpaid-wages/) .
- **Bankruptcy** : wages and other worker rights are paid first (Article 49, amended by PP 49/2025).
- **Sanctions** : staged administrative sanctions for breaches including THR, wage structure and scale, and payslips (Article 79).

## What did PP 51/2023 change?

PP 51/2023 was enacted and promulgated on 10 November 2023 (State Gazette 2023 No. 146). Its main changes concern the minimum wage:

- Article 24(1a): workers with less than one year of service who have qualifications the position requires may be paid above the minimum wage.
- Articles 25 to 35: the minimum wage consists of the provincial minimum wage (UMP) and, under conditions, the district minimum wage (UMK), adjusted by a formula with economic growth, inflation and an index, with set deadlines. As worded in PP 51/2023, the UMP is announced by 21 November (Article 29) and the UMK by 30 November of the current year (Article 35).
- Articles 81A to 81C: the minimum wage of the new capital, Ibu Kota Nusantara, is set by the head of the capital authority.

## What does PP 49/2025 change?

PP 49/2025 is the second amendment to PP 36/2021, enacted and promulgated on 17 December 2025 (State Gazette 2025 No. 187). Its preamble refers to Constitutional Court ruling 168/PUU-XXI/2023. The changes:

- **Wage structure and scale** (Article 21(1)): employers must draw up and apply one, considering the company's ability and productivity, and the worker's grade, position, length of service, education and competence.
- **Types of minimum wage** (Article 25): UMP, UMK under conditions, provincial sectoral minimum wage (UMSP) and district sectoral minimum wage (UMSK).
- **Minimum wage formula** (Article 26): the index (alpha) lies between 0.50 and 0.90 and is chosen by the provincial or district wage council.
- **UMK timetable** (Article 35): set by governor's decree and announced by 25 November, applying from 1 January of the next year.
- **Sectoral minimum wages** (Articles 35A to 35J): governors must set a UMSP and may set a UMSK for certain sectors, above the UMP or UMK.
- **Bankruptcy** (Article 49(3)): workers' other rights rank ahead of all creditors including preferred creditors, except secured creditors.
- **2026 transition** (Article II): the 2026 UMP, UMSP, UMK and UMSK were to be set and announced by 24 December 2025 and apply from 1 January 2026.

## How are minimum wages calculated under the wage regulation?

Under Article 26 of PP 36/2021, as amended by PP 49/2025, next year's minimum wage equals this year's minimum wage plus an adjustment. The adjustment is inflation plus economic growth multiplied by alpha, multiplied by this year's minimum wage. Alpha lies between 0.50 and 0.90 and is chosen by the regional wage council, balancing the interests of workers and companies and the cost of a decent living. Inflation and growth data come from the statistics authority. If the adjustment is zero or less, the minimum wage stays the same. Official UMP and UMK figures by region are on [Indonesia's minimum wage](https://kariraman.com/en/minimum-wage/), and Panduan Warga also explains the formula: [Panduan Warga minimum wage guide](https://panduanwarga.org/en/guides/indonesia-minimum-wage/).

## Will PP 36/2021 be replaced?

Probably, but not yet. The DPR and the Government approved the Labour Protection Law on 6 October 2026, and it has not been promulgated. Until the new law and its implementing regulations take effect, PP 36/2021 as amended by PP 51/2023 and PP 49/2025 remains the wage regulation in use. We track this on [Indonesia's new labour law](https://kariraman.com/en/workers-rights/new-labour-law/).

Not legal advice. For your own case, contact the official channels listed.

## Frequently asked questions

**What is PP 49/2025 about?**

PP 49/2025 is the second amendment to Government Regulation 36/2021 on Wages, enacted and promulgated on 17 December 2025. It changes how minimum wages are calculated and set, brings back sectoral minimum wages (UMSP and UMSK), strengthens the duty to have a wage structure and scale, changes the ranking of workers' claims in a bankruptcy, and set the timetable for the 2026 minimum wages.

**Where is the official PDF of PP 49/2025?**

The official copy of PP 49/2025 is on the Ministry of Law's peraturan.go.id site at peraturan.go.id/files/pp-no-49-tahun-2025.pdf. PP 36/2021 is at peraturan.go.id/files/pp36-2021bt.pdf and PP 51/2023 at peraturan.go.id/files/pp-no-51-tahun-2023.pdf. Download from the government site, not from third-party links.

**Is PP 36/2021 still in force?**

Yes. On 8 October 2026 peraturan.go.id listed PP 36/2021 as in force, as amended by PP 51/2023 and PP 49/2025. The Labour Protection Law was approved by the DPR and the Government on 6 October 2026 but has not been promulgated, so these wage rules apply until new rules take effect.

## Who wrote and reviewed this page?

Written by KarirAman editorial team Published 8 October 2026 Updated 8 October 2026

Prepared with AI assistance. Checked against official sources and approved for publication by Kaiser Khan (editor). Approval date: 8 October 2026.

## Sources

The facts on this page come from these sources. Dates show when we opened them.

1. [DPR Sahkan UU Pelindungan Ketenagakerjaan (emedia DPR RI, 7 Oktober 2026)](https://emedia.dpr.go.id/news/2026/10/07/dpr-sahkan-uu-pelindungan-ketenagakerjaan-dasco-kado-terindah-untuk-buruh) Dewan Perwakilan Rakyat RI (emedia) · accessed 7 October 2026
2. [Menaker Ungkap Poin Penting UU Pelindungan Ketenagakerjaan yang Wajib Diketahui Pekerja](https://kemnaker.go.id/news/detail/menaker-ungkap-poin-penting-uu-pelindungan-ketenagakerjaan-yang-wajib-diketahui-pekerja) Kementerian Ketenagakerjaan RI · accessed 7 October 2026
3. [Peraturan Pemerintah Nomor 36 Tahun 2021 tentang Pengupahan (Pasal 40, 52 sampai 65, 79, 80 dan 85)](https://peraturan.go.id/files/pp36-2021bt.pdf) Kementerian Hukum RI (peraturan.go.id) · PP 36/2021 · accessed 8 October 2026
4. [PP No. 36 Tahun 2021 tentang Pengupahan: detail dan status (peraturan.go.id)](https://peraturan.go.id/id/pp-no-36-tahun-2021) Kementerian Hukum RI (peraturan.go.id) · PP 36/2021 · accessed 8 October 2026
5. [Peraturan Pemerintah Nomor 51 Tahun 2023 tentang Perubahan atas PP 36/2021 tentang Pengupahan](https://peraturan.go.id/files/pp-no-51-tahun-2023.pdf) Kementerian Hukum RI (peraturan.go.id) · PP 51/2023 · accessed 8 October 2026
6. [Peraturan Pemerintah Nomor 49 Tahun 2025 tentang Perubahan Kedua atas PP 36/2021 tentang Pengupahan (daftar pasal yang diubah)](https://peraturan.go.id/files/pp-no-49-tahun-2025.pdf) Kementerian Hukum RI (peraturan.go.id) · PP 49/2025 · accessed 8 October 2026
7. [Putusan Mahkamah Konstitusi Nomor 168/PUU-XXI/2023 (pengujian UU 6/2023, klaster ketenagakerjaan)](https://s.mkri.id/public/content/persidangan/putusan/putusan_mkri_11215_1730375514.pdf) Mahkamah Konstitusi RI · accessed 7 October 2026

**How to cite**

KarirAman (2026). PP 36/2021 on Wages, as amended by PP 51/2023 and PP 49/2025: content and legal status. Updated 8 October 2026. https://kariraman.com/en/regulations/government-regulation-36-2021/

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## Related guides

- [**Government Regulation 35/2021 on fixed-term contracts, outsourcing, hours and dismissal**](https://kariraman.com/en/regulations/government-regulation-35-2021/)
- [**Unpaid, late or underpaid wages in Indonesia: your rights and where to report**](https://kariraman.com/en/workers-rights/unpaid-wages/)
- [**THR religious holiday allowance in Indonesia: who gets it, how much and where to report**](https://kariraman.com/en/workers-rights/thr-religious-holiday-allowance/)
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- [**Indonesia's new labour law 2026: is it in force yet, and what does it mean for workers?**](https://kariraman.com/en/workers-rights/new-labour-law/)
- [**Manpower Regulation 6/2016 on the religious holiday allowance (THR)**](https://kariraman.com/en/regulations/manpower-regulation-6-2016-thr/)

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