Basic worker rights: minimum wage, overtime, THR, leave, and BPJS

Resmi.ID Team · 4 min read · Updated 29 Oct 2026

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Here are the five basic rights people ask about most: minimum wage, overtime, THR (the religious holiday allowance), leave, and BPJS social security. The figures below reflect the rules in force at the time of writing.

1. Minimum wage

Minimum wages are set by governors every year, as a provincial minimum wage (UMP) and, in many areas, a district/city minimum wage (UMK). For 2026, they were set under PP 49/2025 using the formula inflation plus economic growth multiplied by an alpha index of 0.5–0.9, and governors had to set them by 24 December 2025.

The amount differs by region, so check the governor's decree or your local manpower office (dinas tenaga kerja) website. The minimum wage also applies during a permanent employee's probation.

2. Working hours and overtime

Normal working hours are 7 hours a day and 40 hours a week on a 6-day schedule, or 8 hours a day and 40 hours a week on a 5-day schedule. Work beyond that is overtime, capped at 4 hours a day and 18 hours a week under PP 35/2021.

For overtime on a working day, pay is 1.5 times the hourly wage for the first hour and 2 times the hourly wage for each following hour. Overtime on a weekly rest day or public holiday has its own, higher rates. The hourly wage is 1/173 of the monthly wage.

Example: a monthly wage of Rp5,190,000 gives an hourly wage of about Rp30,000. Three hours of overtime on a working day = (1.5 × Rp30,000) + (2 × 2 × Rp30,000) = Rp45,000 + Rp120,000 = Rp165,000.

3. Religious holiday allowance (THR)

• Who's entitled: workers with 1 month or more of continuous service, both permanent and contract.
• 12 months' service or more: 1 month's wage.
• 1 to under 12 months: proportional, i.e. months of service divided by 12, times 1 month's wage.
• Paid no later than 7 days before the religious holiday, in full and not in instalments, under the Minister of Manpower's 2026 THR circular.

For daily casual workers, one month's THR wage is based on average earnings, i.e. the last 12 months if they've worked 12 months or more. If the employment agreement, company regulations, or company practice sets a higher THR, the higher amount applies. Regional governments are also asked to open THR complaint posts.

4. Annual leave and rest

After 12 consecutive months of work, you are entitled to at least 12 working days of annual leave on full pay. Employers may give more through the employment agreement, company regulations, or a collective labour agreement (PKB).

Besides annual leave there is weekly rest and other leave such as sick leave and maternity leave. Details of other leave types are usually in the company regulations, so ask for a copy when you start.

5. BPJS Ketenagakerjaan and BPJS Kesehatan

Employers must register workers with two social security programmes: BPJS Ketenagakerjaan (employment social security) and BPJS Kesehatan (national health insurance). Contribution rates for wage earners, as a share of monthly wages:

1. 1Work Accident Insurance (JKK)0.24%–1.74% depending on risk level, paid by the employer.
2. 2Death Insurance (JKM)0.3%, paid by the employer.
3. 3Old-Age Savings (JHT)5.7%, i.e. 3.7% employer and 2% worker.
4. 4Pension (JP)3%, i.e. 2% employer and 1% worker, subject to a wage ceiling set by BPJS Ketenagakerjaan.
5. 5Job Loss Insurance (JKP)Pays 60% of wages in cash for up to 6 months if you are laid off and meet the requirements.
6. 6BPJS Kesehatan5% of wages, i.e. 4% employer and 1% worker.

How to read your payslip

1. 1Check base payMake sure it isn't below your area's minimum wage.
2. 2Check overtimeCompare recorded overtime hours with your own notes.
3. 3Check BPJS deductionsThe worker's share should be 2% JHT, 1% JP, and 1% BPJS Kesehatan.
4. 4Check taxIncome tax (PPh 21) is withheld by the employer under tax rules.
5. 5Keep your payslipsFile them monthly as evidence in case of discrepancies.

If your rights aren't met

Start by asking HR politely and in writing, for example by email: "Could you please confirm September's overtime calculation? My records show 12 hours, but the payslip shows 8." Many problems turn out to be data-entry errors.

If that doesn't resolve it, you can negotiate bipartitely with the employer, involve a trade union if there is one, and then report to your local manpower office. Keep in mind that the DPR passed the Labour Protection Law in October 2026 with a one-year transition, so watch Kemnaker's official updates for changes to the details.

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