On 8 June 2018, the Governor of West Java (Jawa Barat) issues Decree No. 561/Kep.577/ Yanbangsos/2018 on the 2018 sector-based minimum wage of the Karawang regency. Infamous for its high minimum wage figure, the sector based-minimum wage of the said regency applies for 45 type of industries with amount ranging from around Rp. 3,900,000 to Rp. 4,500,000 per month.
The Governor Decision stipulates that the sector-based minimum wage applies as of 1 January 2018, meaning that the relevant industry should back pay the wage shortage from 1 January 2018 to comply with the sector-based minimum wage.
The nominal value of sector-based minimum wage in Karawang regency in 2018 is as follow:
1. Food Industry I: Rp 4,524,748.10
2. Food Industry II: Rp 4,539,523
3. Beverage Industry: Rp 4,524,748.10
4. Other Cigarette Industry: Rp 4,524,748.10
5. Textile Industry: Rp 3,930.972.10
6. Footwear Industry: Rp 3,934,226.50
7. Wood Industry: Rp 4. 524. 748.10
8. Paper and Paper Goods Industry: Rp 4,524,748.10
9. Coal and Oil Refinery Industry: Rp 4,539,523
10. Petroleum Refining Products Industry: Rp. 4,539,523
11. Chemical and Chemical Products Industry: Rp. 4,539,523
12. Manufacture of Plastic and Artificial Rubber: Rp. 4,539,523
13. Other Chemicals Industry: Rp. 4,539,523
14. Manufacture of Artificial Fibers: Rp. 3,934,226.50
15. Pharmaceutical Industry: Rp. 4,539,523
16. Rubber Industry I: Rp. 4,301,426.90
17. Rubber Industry II: Rp. 4,539,523
18. Plastic Industry I: Rp. 4,301,426.90
19. Plastic Industry II: Rp. 4,539,523
20. Plastic Industry III: Rp. 4,535,358.30
21. Manufacture of Non-Metal Products 1: Rp. 4,301,426.90
22. Manufacture of Non-Metal Products II: Rp. 4,539,523
23. Manufacture of Non-Metal Products III: Rp. 4,524,748.10
24. Basic Metal Industry: Rp. 4,539,523
25. Metal Goods Industry: Rp. 4,539,523
26. Electronic Industry: Rp. 4,539,523
27. Electricity Industry I: Rp. 4,539,523
28. Electricity Industry II: Rp. 4,539,523
29. Electricity Industry III: Rp. 4,539,523
30. Machinery Industry: Rp. 4,539,523
31. Manufacture of Four or More Wheel Vehicles: Rp. 4.,547,852.40
32. Motor Vehicle Industry, Trailer and Semi Trailers: Rp. 4,539,523
33. Motorcycle Industry I: Rp. 4,547,852.40
34. Motorcycle Industry II: Rp. 4,539,523
35. Furniture Industry: Rp. 4,524.748.10
36. Children’s Toy Industry: Rp. 3,930,972.10
37. Glasses Industry: Rp. 4,301,426.90
38. Electricity: Rp. 4,539,523
39. Natural and Artificial Gas: Rp. 4,539,523
40. Construction: Rp. 4,524,748.10
41. Wholesale Trade of Machinery, Equipment and Other Equipment: Rp. 4,539,523
42. Financial Activities: Rp. 4,301,426.90
43. Insurance: Rp. 4.301.426.90
44. Real Estate: Rp. 4,524,748.10
45. Sports and Recreation: Rp. 4,301,426.90