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Apindo Riau Urges Home Affairs Minister to Postpone 2026 Agricultural–Plantation Sector Minimum Wage in Kampar

Apindo Riau Urges Home Affairs Minister to Postpone 2026 Agricultural–Plantation Sector Minimum Wage in Kampar

KAMPAR – The Riau Provincial Leadership Board (DPP) of the Indonesian Employers Association (Apindo) has submitted a formal objection to the 2026 Sectoral Minimum Wage for Agriculture and Plantations (UMSK) in Kampar Regency to the Minister of Home Affairs (Mendagri).

 

Tribunpekanbaru.com received a digital copy of the letter in Portable Document Format (PDF) from Apindo Riau’s Secretary for Public Relations and Social Media Affairs, Fakhrur Rodzi, on Wednesday (January 28, 2026).

 

The letter, numbered 019/DPP/APINDO/I/2026 and dated January 12, 2026, was signed by Chairperson of Apindo Riau, Nila Riana, and Secretary R. Elwan Jumandri.

 

Along with the objection, Apindo also requested the Minister of Home Affairs to postpone the implementation of the 2026 Kampar UMSK. “To postpone the enforcement of the Sectoral Minimum Wage for Kampar Regency in 2026,” reads one of the key points in the letter.

 

Apindo outlined its reasons for objecting to the Kampar Regent’s Letter No. 500.15.14/PERINAKER-PHIK/1667 dated December 23, 2025, which was preceded by a recommendation from the Riau Provincial Wage Council as stated in Minutes of Meeting No. 02/BA-DEPEPPROV/XII/2025 dated December 21, 2025.

 

The minutes stipulate the 2026 district/city minimum wages across Riau Province. “The Riau Provincial Wage Council only stipulated the Kampar District Minimum Wage (UMK) at Rp3,898,210.70,” the letter states.

 

According to Apindo, the Kampar Regency Wage Council meeting recommended not to establish a sectoral minimum wage (UMSK) for 2026, with the UMSK to be set starting in 2027.

 

However, in practice, the Governor of Riau, through Decree (SK) No. 1165/XII/2025 dated December 23, 2025, set the Kampar UMSK at Rp4,149,255.46. The decree was based on a letter issued by the Kampar Regent.

 

Apindo asserted that the regent’s letter was inconsistent with the wage council’s recommendation and characterized it as a unilateral decision.

 

“As a result, the issuance of the regent’s letter has the potential to trigger industrial disputes,” the letter states.

 

Apindo acknowledged that the 2026 Kampar UMSK is the first to be implemented. The calculation of the UMSK used the formula: 2026 UMK + Inflation Percentage + Economic Growth (EG) × alpha.

 

Apindo assessed the formula as incorrect, unfair, and unfriendly to investment, as it effectively doubles the inflation rate and economic growth figures.

 

“This is why the UMSK increase exceeds 14 percent compared to the 2025 UMK,” Apindo stated. The increase is considered burdensome for employers and potentially disruptive, leading to cascading wage increases.

 

In addition to the letter, Apindo Riau also filed an objection to the 2026 District Minimum Wage (UMK) for Indragiri Hulu. The objection targets the Governor of Riau’s Decrees No. 1164/XII/2025 and No. 1165/XII/2025 dated December 23, 2025, which stipulate the 2026 UMK and UMSK for regencies and cities across Riau Province.

 

According to Apindo, the decrees are not in accordance with Government Regulation No. 49 of 2025. Furthermore, they do not apply the formula and methodology stipulated by the Central Government as outlined in the letter of the Director General of Industrial Relations Development and Labor Social Security No. 233/HL.01.00/XII/2025.

 

Source: pekanbaru.tribunnews.com

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